Financial provision — overviewChild maintenance

The Child Maintenance and Enforcement Commission has now assumed responsibility for the Child Support Agency (CSA). The CSA currently retains jurisdiction to calculate maintenance where the parent with care of the child (PWC), the non-resident parent (NRP) and the child are habitually resident in the UK. A PWC has day-to-day care of the child for 104 nights a year or more. An NRP does not share their household with the child, who lives with the parent in care. The child must be under 16, or under 19 but receiving full-time, non-advanced education.

The basic rate of maintenance is a percentage of the NRP’s net weekly income, namely:

• 15% for one child

• 20% for two children

• 25% for three or more qualifying children

The rate is reduced if the NRP has other children living in their household, and where the child has overnight contact for one or more nights a week.

The PWC may apply for an upwards variation of maintenance if they believe that the NRP has additional or undisclosed financial resources. Applications can also be made for revisions and supersession.

New provisions effecting PWCs who are in receipt of state benefits came in to force on 27 October 2008. These include increasing the £10 per week disregard to £20 and allowing the PWC the choice of arranging child maintenance with the CSA or by way of a private agreement. See Financial Provision: Periodical payments for the benefit of children.

The court has jurisdiction to make child periodical payments orders in circumstances including where:

• there is a consent order: although a written agreement may be converted into a maintenance order, once it has been in force for a year, the PWC or NRP may apply to the CSA for a child maintenance calculation

• a child is over 16, or over 19 and in full-time education, as they fall outside the child support legislation

• the child or one of their parents is habitually resident overseas

• the application is for school fees, tertiary education or vocational training

• the child support maximum figure has been reached, when the NRP’s income exceeds £104,000 a year net

• a child is disabled, to cover attributable expenses

Schedule 1 to the Children Act 1989

Maintenance provisions under Sch 1 are used only where a case falls outside the CSA’s jurisdiction. A parent or guardian may apply for the range of orders as above. A child over 18 can apply for periodical payments, normally for financial support for further education or vocational trading.

Lump sum orders are available under Sch 1 for past expenditure, eg reimbursement of expenses connected with the birth, and for future expenditure, eg a family car or a school fees fund. There is no limit to the number of lump sum applications that can be made until the child reaches 18.

A transfer or settlement of property order can be made once, effectively providing a home for a child increasingly until 21, or completion of full-time education up to completion of first degree level.

Sch 1 applications can be made in the family proceedings court but their jurisdiction is limited to lump sum payments of £1,000. The applications are more usually made in the county court or the High Court where the financial jurisdiction is unlimited. The applicant must complete Forms C1 (application), C10 (setting out relief sought) and a C10A statement of means. The respondent must file a C7 acknowledgment of service and C10A statement of means. Directions appointments are usually fixed; this routinely results in orders for filing questionnaires and completion of ancillary relief Forms E/E1 before a final hearing.