Government's Response to Child Support Consultation: Implications for Families

On 23 June 2025, the Department for Work and Pensions (DWP) published its response to a consultation aimed at improving the collection and transfer of child support payments through the Child Maintenance Service (CMS). This article explores the government's proposed changes and their potential impact on families relying on child support.

Removal of Direct Pay

The DWP has announced its intention to eliminate the Direct Pay option, where the paying parent directly transfers maintenance to the receiving parent without CMS involvement, except in cases of non-compliance. This decision stems from consultation findings indicating that only 60% of receiving parents received all due maintenance, and merely 40% received payments on time. Furthermore, 36% of parents who experienced missed or late payments did not report these issues to the CMS. 

Transition to Collect and Pay Service

With the removal of Direct Pay, all statutory child maintenance cases will transition to a single Collect and Pay service. This system allows the CMS to monitor and manage every payment, ensuring timely and full payments, and enabling immediate action if payments are missed. This change aims to provide greater security and reliability for receiving parents, ensuring they receive the support they are entitled to.

Revised Fee Structure

The reform introduces a new fee structure to support the CMS's operational costs. Receiving parents will incur a 2% fee deducted from the maintenance received. Compliant paying parents will have a 2% fee added to their liability, while non-compliant paying parents will face a 20% surcharge. These fees are designed to incentivise compliance and cover the service's day-to-day running costs, with implementation expected between 2027 and 2028, subject to parliamentary scheduling. 

Future Reforms

The government's response also indicates plans for further consultation on reforming how statutory child maintenance is calculated, scheduled for late 2025. This ongoing review process highlights the government's commitment to refining the child support system to better serve families.

Conclusion

The proposed changes to the child support system reflect a significant shift in how maintenance payments are managed, aiming to enhance reliability and accountability. Families relying on child support should prepare for these changes and consider how the new fee structure and service model may affect their financial planning. As the government continues to refine the system, staying informed and engaged with the consultation process will be crucial for all stakeholders.

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Jamie Beland