In the 2025 tax year, 336,500 families claimed and were entitled to Working for Families tax credits (WFF). This is a 1.8% increase from the 2024 tax year.
The above graph shows the number of families claiming and entitled to WFF between the 2003 and 2025 tax years. The number of families claiming and entitled to WFF increased from 288,500 in the 2003 tax year to 421,200 by the 2011 tax year. This followed increases to the WFF entitlements between 2005 and 2010.
Between the 2011 and 2018 tax years, the number of families claiming and entitled to WFF decreased to 322,900. WFF entitlements depend on a family’s income with families generally entitled to lower entitlement amount. The decrease in the number of families claiming and entitled to WFF between 2011 and 2018 is linked to increasing incomes over this period.
On 1 July 2018, the Best Start Tax Credit was introduced, and the Family Tax Credit entitlements were reformed. After these changes, the number of families claiming and entitled to WFF increased, peaking at 355,700 in the 2020 tax year.
Since 2020, the number of families claiming and entitled to WFF has decreased, due to income growth.
In the 2025 tax year, 336,500 families claimed and were entitled to WFF, a 1.8% increase compared to the previous year. As well as indexation adjustments to Family Tax Credit entitlements, an additional contributing factor was a $25 per week increase to the In-Work Tax Credit entitlement for the first three children from 31 July 2024.
Approximately 661,400 children were supported by WFF payments in the 2025 tax year.