Question to the Department for Work and Pensions:
To ask His Majesty's Government what assessment they have made of the methods used by absent parents on incomes above £156,000 to evade full and accurate assessment for child maintenance by the courts.
Where a parent’s gross income exceeds £156,000 a year, the Child Maintenance Service (CMS) makes a maximum maintenance calculation. Any further consideration of child maintenance is a matter for the courts, which have their own mechanisms for examining the finances of those involved in proceedings where relevant.
Where a paying parent’s income is not fully reflected in a statutory maintenance calculation, the CMS can take account of certain forms of diverted and unearned income through the variation process where income has not been fully reflected in a maintenance calculation. Where information is disputed or appears not to reflect a parent's true circumstances, caseworkers can access specialist support, including the Financial Investigation Unit.
The Government continues to work closely with HMRC to improve the quality and timeliness of income data and strengthen the identification of complex income arrangements. Assessments and processes are kept under review to help ensure that child maintenance liabilities accurately reflect parents' financial circumstances and that all parents contribute appropriately towards their children.
The CMS can provide information to the courts where requested through the proper legal process, including information used in child maintenance calculations and, where relevant, findings from CMS investigations
The CMS remains committed to ensuring that parents meet their financial responsibilities to their children.