Unexpected £50 payment from HMRC lands in thousands of bank accounts

A £5 note in a wallet
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HMRC has been depositing thousands of £50 payments into bank accounts due to a mistake that affected benefit payments. Individuals may have noticed this special payment from HMRC when reviewing their account.

This follows an incident in early June where over half a million people did not receive their Child Benefit payments on time. Now, as an acknowledgement of this delay, which was attributed to a processing error and left parents short of funds, HMRC is making additional payments as a "goodwill gesture".

These will be given to those who experienced "distress" and went without their benefits for several days, as well as others who suffered financial loss as a result, such as unexpectedly going into overdraft or incurring direct debit charges. Those who lost more than £50 could receive more than that amount, reports Birmingham Live.

Individuals must apply for these compensation payments and can do so on the Government website. Tax expert Andy Wood clarified: "The up to £50 'bonus' payments serve as a gesture of goodwill from HMRC, recognising the processing error. Affected individuals must claim their entitlement promptly to receive timely payment."

"HMRC has confirmed that it is providing additional funds to individuals who experienced "distress" or incurred additional charges due to the delayed payments. In early June, more than five hundred thousand Child Benefit payments were not delivered punctually."

"The delay in Child Benefit payments was attributed to a processing error within HMRC's systems. Such technical glitches are unfortunate but not uncommon in large-scale government operations, leading to temporary disruptions in service delivery."