Government promises better child maintenance system

The government has announced plans to improve how child maintenance payments are collected and passed on to parents. 

Ministers want to make sure the system is fairer, faster and more reliable, especially for parents who aren’t getting the child maintenance they’re owed.

One of the main proposals is scrapping the “Direct Pay” system, which has been criticised for allowing too many missed payments and leaving survivors of abuse exposed.

What is “Direct Pay” - and why is it being replaced?

Under the current system, most parents start on Direct Pay. 

This means the Child Maintenance Service (CMS) calculates how much support should be paid, but the parents are responsible for making and receiving the payments themselves.

However, only 60% of receiving parents said they were paid in full, and just 40% said payments arrived on time. 

Figures also show that over a third of parents didn’t even report missed or late payments – often because they were afraid of their ex or didn’t trust the CMS to help.

There’s also a serious link to abuse. 

71% of receiving parents and 51% of paying parents using Direct Pay said they had experienced domestic abuse from the other parent.

But more than half (58%) of receiving parents support scrapping Direct Pay to help stop abuse.

Under the proposals, Direct Pay will be scrapped entirely and replaced with a single service where CMS manages all payments. 

This means parents won’t need to chase late payments themselves or deal directly with someone who may have been abusive. 

The CMS will also take action immediately if money isn’t paid on time.

What’s happening with “Collect and Pay”?

The CMS already offers a system called Collect and Pay, where they collect money from the paying parent and pass it to the receiving parent. 

But at the moment, parents can only switch to it when Direct Pay fails – often too late, after debts have piled up.

Under the new plans, more parents will start out on Collect and Pay, especially where there’s risk of abuse or a history of non-payment. 

The current fees - 4% for the parent receiving and 20% for the parent paying - will also be reduced, although some charges will still apply.

Could more parents get named caseworkers?

At the moment, parents don’t automatically get a named caseworker, even in domestic abuse cases. 

That means you could end up speaking to a new person every time you call, which many parents say feels confusing, impersonal, and even distressing - especially when you’ve been through trauma.

The government has acknowledged that this is a problem and it’s now looking at assigning dedicated caseworkers or teams to vulnerable parents in the future.

During a recent consultation, lots of parents called for named caseworkers, so they could speak to the same person who understands their case. 

Many said this would make the service feel more supportive and reduce the stress of having to repeat painful details.

The CMS has also updated and refreshed domestic abuse training, so it covers key issues including financial and coercive control.

What else is changing?

The CMS is also modernising its systems to make it easier for all parents to manage their cases.

This includes:

• better use of digital tools for those who prefer them
• clearer letters and messages
• ongoing support for family-based arrangements, where parents make their own payment plans without using CMS - if that works for them

When will these changes happen?

Although many changes are already being carried out, some measures such as scrapping Direct Pay will need new laws.

That means it could take two to three years before all the planned improvements are in place