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HM Revenue & Customs (HMRC) has been sending notifications to individuals who may be due tax reimbursement if they had children between 1978 and 2010.

Officials have conceded that owing to the deletion of tax records, the exact number of people eligible for compensation remains unknown.

Accountancy firm affected individuals may be entitled to an average of £5,000 in backdated payments.

According to the Department for Work and Pensions (DWP), underpayments of state pensions due to discrepancies in Home Responsibilities Protection (HRP) records amount to between £300 million and £1.5 billion.

Introduced to safeguard parents' and carers' State Pension rights, HRP was replaced by National Insurance credits starting April 6, 2010.

To rectify the issue, HMRC is utilising National Insurance (NI) data to pinpoint as many eligible individuals as possible who might have qualified for HRP between 1978 and 2010, and subsequently sending notifications.

A representative from Robson Laidler said: "It is estimated tens of thousands of people are due an average of £5,000 in back payments. HMRC and DWP are also conducting a wider campaign to ensure that everyone who may be eligible is aware of the corrections exercise."

HM Revenue and Customs has urged people to verify possible missing Home Responsibilities Protection (HRP) on their records: "HMRC will send you a letter if we think you may have missing Home Responsibilities Protection (HRP). We want to help you make sure you receive the right amount of State Pension, so we're asking you to check if you were eligible for HRP between 1978 and 2010. You may have been eligible if you received Child Benefit for a child under 16."

"The letter will tell you how you can check if you're eligible to claim missing Home Responsibilities Protection and how to make a claim."

Could your State Pension be Impacted by a Missing HRP Record?

A deficit in HRP on a person's NI history doesn't guarantee an inaccurate State Pension calculation; however, it's a possibility, particularly for those who had significant employment breaks to care for children.

The Exchequer Secretary to the Treasury has voiced concerns regarding pension preparations: "The State Pension is the foundation of state support for people in retirement. We are urging people to check their National Insurance records to make sure they will receive the pension they deserve."

HMRC removes child benefit data after five years, leaving them uncertain about who might be impacted, thus reaching out to potentially affected parties. In acknowledgment, Permanent Secretary Peter Schofield has highlighted that the DWP has already refunded in excess of £700 million and is continuing to make headway despite few individuals initiating contact with the department over this matter.

A spokesperson for Robson Laidler has issued a statement advising individuals to be proactive about their National Insurance records: "We would therefore advise checking your own NI records rather than waiting for a letter from DWP/HMRC to arrive. There is no time limit for applying for HRP if it has not been awarded."

They further highlighted a potential issue for those who claimed Child Benefit prior to May 2000, stating: "Anyone who may have claimed Child Benefit before May 2000, when it was not mandatory to provide your National Insurance Number on your claim, may not have the correct number of years for State Pension purposes on their NI record, if you first made a claim after May 2000, you will not be affected."

How to Check and Apply

Before you start the online HRP check you will be asked if you have gaps in your National Insurance record. If you cannot find your National Insurance record online or do not know the answers to any of the questions, you can choose 'Do not know' and you'll be told how to get this information.

Should you need to apply for HRP, or if you believe your record to be incorrect you should fill in form CF411 'application form Home Responsibilities Protection (HRP)'.

For more information or advice about your HRP application, you should .

Who can apply

You may still be able to apply for HRP if, for full tax years (6 April to 5 April) between 1978 and 2010, you were either:

• sharing the care of a child under 16 with a partner you lived with and they claimed Child Benefit instead of you - you may be able to
• caring for a sick or disabled person

You can also apply if, for a full tax year between 2003 and 2010, you were either:

• a foster carer
• caring for a friend or family member's child ('kinship carer') in Scotland

If you reached State Pension age on or after 6 April 2010

Any HRP you had for full tax years before 6 April 2010 was automatically converted into National Insurance credits, if you needed them, up to a maximum of 22 qualifying years.

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