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CMEC launches free information service
The Child Maintenance & Enforcement Commission (CMEC, formerly the Child Support Agency – CSA) has launched a national campaign to promote Child Maintenance Options, a free public information and support service which aims to help separated parents decide which child maintenance arrangement best suits their circumstances.
At the moment, there are two assessment schemes according to which a non-resident parent might have his maintenance calculated; the original scheme which was superseded by the new simplified formula in 2003. It had been hoped that all the old cases should have migrated on to the new scheme by now but this has not happened. With the advent of CMEC there is yet another formula being introduced, despite the widespread familiarity and comprehension of the current percentages used to determine child maintenance assessments.
A number of changes have been brought about to assist CMEC. Due to difficulties in obtaining financial information from non-resident parents, CMEC is now able to base assessments on the previous year’s tax returns or P60s, making their task considerably easier. In addition, even tougher enforcement powers have been granted to the new Agency, such that they can take money direct from non-complaint payers’ bank accounts without a court order. Parents can also agree separate maintenance arrangements outside any of the formulae in use. It is this last point which lies behind Child Maintenance Options. Which out of three schemes should be chosen by parents, if at all?
CMEC freely admits that it will not enforce any privately negotiated agreements, unless they fall within the current formula, and this has been the main criticism from lawyers and parent support groups. They argue that the less economically powerful party will be compelled to accept a lesser amount for a quiet life and in the hope that it might actually be paid. When the payer defaults, they are left with nothing unless they pursue them through CMEC. Also the Agency aims to phase out the two previous schemes and migrate all cases on to the new formula within the next few years, so the option to join those will be removed.
Punam Denley, a partner in iFLG, commented: “In essence therefore, if someone want to have an enforceable child maintenance sum, they will require a court order or an assessment by CMEC. This was the position and remains the position, despite the expensive rebranding.”
Posted on 18 January, 2010 by David Hodson
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