Chancellor George Osborne has said child benefit for higher rate taxpayers will be removed, after ministers' hints the policy could be made ‘fairer’.
Full details of the changes are yet to be confirmed however Prime Minister David Cameron acknowledged there is a concern with the £42,475-a-year threshold.
Labour said the policy was an ‘utter shambles’ and single earner families would suffer ‘unfairness.’
Mr Cameron said: "Some people say that's the unfairness of it, that you lose the child benefit if you have a higher-rate taxpayer in the family (but) two people below the level keep the benefit.
"So, there's a threshold, a cliff-edge issue. We always said we would look at the steepness of the curve, we always said we would look at the way it's implemented and that remains the case."
Child benefit is available for every child in the UK below the age of 16 and is one of the few remaining non-means tested benefits.
First-born children receive £20.30 a week, whilst each subsequent child benefits from £13.40. The money is paid to the parent who is directly responsible for the child.
In October 2010, Mr Osborne announced plans to scrap child benefit for any household with a parent above the 40% tax threshold - currently about just over £42,400.
This would allow a couple both earning just under £42,000 to keep the benefit; single earner families that receive over the threshold would not be entitled to any child benefit.
MM set out to gather the thoughts and opinions of people in Manchester on this delicate issue.
Do you agree with the recent announcement of Child Benefit cuts?
Dawn Hann, 58, respite carer from Hebden Bridge, said: “I wouldn’t agree as I think it’s hard enough for parents as it is without taking more money off them. Everything’s going up in price.”
Marianne Mills, 22, unemployed from Oldham said: “I’m not getting enough money as it is for my two children. I think it all depends on the size and earnings of a family. If [a family] is not working it’s understandable that they will need more money.”
Jack Mowinski, 38, labourer from Rochdale, said: “Benefits should be determined by the annual household income, not just one parent.”
Hannah Stotstad, 21, student from Preston, said: “If people earn over the threshold then they should not get child benefit they should be able to support themselves.”
Samantha Barry, 35, fundraiser from Withington, said: “There’s enough cuts going on at the moment I really don’t see why the government are focussing on cutting their budget when they should be looking to control corporate bonuses and multi-million pound tax dodging.”
Umar Rasheed, 50, courier from Rusholme, said: “I’ve had six children and supported them all myself with my wife. If people cannot afford to raise their children properly then they should spend their money more wisely.”
Jack and Amee Jenkins, 28 and 23, retail assistants from Eccles: “Everyone should be entitled to the same, otherwise no one will ever be happy.”