Question to the Department for Work and Pensions:

To ask the Secretary of State for Work and Pensions, what steps her Department is taking to tackle parents whose child maintenance liability is inconsistent with their lifestyle and financial resources.

The income information for a child maintenance calculation is obtained directly from HM Revenue and Customs (HMRC). This figure includes earnings from self-employment. Either parent may request a variation to a maintenance calculation to allow the Child Maintenance Service (CMS) to consider some circumstances which are not covered by the basic calculation. This includes unearned income such as rental income from property or land, or dividends and interest from savings and investments. If a variation succeeds, the maintenance liability may be adjusted.

Cases involving complex income or suspected fraudulent behaviour are referred to the CMS’s Financial Investigation Unit (FIU), a specialist team who can request information from financial institutions to check the maintenance calculation is accurate. If an investigation finds evidence of criminality the FIU may seek to prosecute or forward to HMRC for fraud action.