18/01/2006

CSA reforms could see private firms chase absent parents

Private debt collectors could be set to take over the collection of money from parents who fail to pay child support.

Plans have emerged regarding efforts to reform the Child Support Agency (CSA), which has been under sustained attack for failing to meet a wide range of criteria.

The CSA is tasked with the responsibility for recovering maintenance from absent parents for the upkeep of their children. The agency has a variety of methods for retrieving the money, including court action and employing bailiffs.

A report published last year stated that the CSA was costing more to run than it recovered from parents, with only £8m reclaimed, in comparison to running costs of around £12m.

Recently Tony Blair admitted that the CSA, established in 1993, was “not suited to the job” and that it was extremely difficult to make the unit cost-effective, due to its combined roles of investigation, adjudication and enforcement.

The government has dismissed claims that the unit will be scrapped, but a review of the CSA is currently being carried out by its chief executive, Stephen Geraghty, with a report due early in 2006. It is thought that in addition to the employment of private debt collectors, that the Revenue and Customs agency could be about to take over the role of collecting maintenance payments, leaving a streamlined CSA with the task of assessing cases.

(CL/GB)

Related UK National News Stories
Click here for the latest headlines.

08 September 2005
CSA in ‘meltdown’ warns former minister
The Child Support Agency is in ‘meltdown’, the former welfare minister has warned. In an open letter to Prime Minister Tony Blair, Frank Field said that the CSA was now performing worse than it did in 1998, a year after Labour first came to power.
25 November 2003
£300m CSA system fails 'majority' of applicants
A £300 million computer system for the Child Support Agency (CSA), which was intended to speed up cash payments to thousands of single parents, has managed to get cash to less than 4% of applicants.
27 October 2008
Benefit Reforms Introduced
Welfare reforms that will change the way single parents apply for child maintenance have been introduced by the Government. Incapacity Benefit will end today for new claimants, and will be replaced with a new benefit - the Employment and Support Allowance (ESA) - which the Government said would mark the end of "writing people off".
21 August 2009
Parking Enforcement 'Out of Control'
Growing parking enforcement in private car parks and the huge amounts of money being taken from drivers has reached 'epidemic' level, according to the AA. More than one in 10 drivers say they have been issued a private parking ticket over the last year and tens of thousands of people have had their car clamped or removed from private car parks.
15 August 2014
Two Arrested During Search For Missing Brothers
Two people have been arrested by police searching for three brothers missing since Monday. It is now known that the brothers, Remus (15), Janko (12) and David (10), caught a train to Newcastle while their foster parents thought they were out for a bike ride on Monday evening. The brothers were seen on CCTV leaving Newcastle's Central Station.