Child Maintenance Services

Siobhan Baillie Excerpts

Tuesday 17th January 2023 Westminster Hall

[Jamie Stone]

My hon. Friend makes some very valid points indeed. Perhaps I should also pay tribute to the staff in my own office, and in the offices of all other MPs, who do fantastic, challenging and difficult work. It is very stressful for the staff members involved, so I pay tribute to them.

I want to focus on the ways in which the CMS can better support survivors of domestic abuse and safeguard receiving parents and their children from falling into poverty. It is quite clear that the CMS is not specialised or tailored to support survivors of domestic and economic abuse, so we in the APPG are glad to hear that the Government plan to use Dr Samantha Callan’s recommendations to introduce new domestic abuse training for CMS caseworkers, which will be delivered by a third-party external agency rather than in-house, as set out in the review published this morning, for which I thank His Majesty’s Government. However, our concern is that this does not go far enough. The training should be delivered by a specialist organisation, such as any of the organisations I have already thanked.

I am also glad to hear that the Government plan to protect survivors from having direct contact with abusive ex-partners when trying to obtain child maintenance payments, by giving them the choice to be moved on to collect and pay, the system by which the CMS collects a payment from the paying parent and pays it to the receiving parent without either party having to make direct contact, allowing claims to be made safely. That is an important point.

I understand that the system is more costly for the Government, but we strongly urge that these charges to the paying and receiving parents—20% and 4% respectively —are dropped for survivors of domestic abuse. The charges exacerbate already abusive relationships; they make them worse. Abolishing them would also be a simple way to safeguard against further refusal to make payments.

When it comes to safeguarding receiving parents from falling below the poverty line, I support the call for the CMS to make mandatory minimum payments to survivor receiving parents and to chase the paying parents themselves. This would take the burden of feeling forced to make direct contact away from the survivor and protect them from potential financial ruin. Given the historic failure of the CMS to enforce payments from perpetrators of economic abuse and the current cost of living crisis, we believe that the Government should seriously consider this recommendation.

Many of the problems come down to a fundamental breakdown of communication between the Department for Work and Pensions, and His Majesty’s Revenue and Customs. Perpetrators of economic abuse are able to get away with declaring no income if they are self-employed or a business-owner, therefore escaping the obligation to pay maintenance; this will be a situation familiar to Members of this House from all parties. The perpetrators are also able to avoid payments as the CMS has no legal enforcement capability, despite child maintenance being a legal obligation.

The Public Accounts Committee found that unpaid maintenance owed to parents on collect and pay to distribute payments is set to rise to £1 billion by March 2031. Can you believe that? The review by the National Audit Office in March 2022 stated that the work of the CMS has

“not, so far, increased the number of effective child maintenance arrangements across society.”

[Siobhan Baillie (Stroud) (Con)]

This work on child maintenance is incredibly important. The Work and Pensions Committee has also been looking at these issues and I have found the Ministers and the teams at DWP to be very receptive. Does the hon. Gentleman agree that when we are considering how to get money to parents through an enforcement process, the speed of the implementation of enforcement is just as important as the actual tool, and that involving courts can sometimes seriously delay the enforcement? Also, would he be willing to look at my private Member’s Bill about child maintenance enforcement options, which has Government backing?

[Jamie Stone]

I thank the hon. Member for her intervention. I think I can safely speak for all members of the APPG in saying that we would endorse what has just been said and we would gladly look at her Bill. One of the most encouraging aspects of the work—early as it is—of this new APPG is the cross-party support that there is for it. Regardless of political colour, there is a recognition that there is something very wrong and I am sure that we can improve that.

I will re-emphasise my opening point that currently the CMS is not working for anybody. In my own office, the bulk of cases come from constituents who are paying parents and who are being unfairly treated by the CMS. We have found that it is often the case for parents who have shared care that one parent has the child for more days than the other and is entitled to various child benefits but then asks for maintenance on top of that, despite the other parent caring for the child for two to three days a week without receiving any support from the Government. So there are different ways of looking at this issue.

In my office, we have also seen cases where parents have been making their payments properly and on time, but they have had those payments treated as being “voluntary”, and so they are not counted towards assessed payments.

It is clear that we need a fundamental overhaul of the way that the CMS works, so that it better protects receiving parents from economic abuse and the threat of poverty, and so that paying parents are not being unnecessarily chased by the CMS for payments they do not owe. This would require a proper and thorough understanding of domestic and economic abuse, a fundamental link between the DWP and HMRC, and an urgent review of the internal administrative efficiency of the CMS.

In closing, I will simply say that I make these remarks in this place in all sincerity and I hope that we can move forward on a cross-party basis, with help from His Majesty’s Government, to tackle this issue, which cuts deeply into many people’s lives and for the worse.