Evidence gathered by the Department has highlighted significant shortcomings with Direct Pay. Under Direct Pay, the CMS is unable to routinely monitor whether payments are being made in full or on time, meaning non-compliance can go undetected until a parent reports a problem. Research tells us that only 60% of receiving parents in Direct Pay reported getting all of the child maintenance they are owed, and only 40% of them reported receiving it always on time. This places the burden on receiving parents to chase payments. The current arrangement can also create opportunities for economic abuse, including situations where maintenance is withheld, paid late or manipulated as a means of exerting control over a former partner. In many cases, parents may also need to maintain contact with an ex-partner to resolve payment issues, which can be distressing and particularly harmful for victims and survivors of domestic abuse.

However, moving to a single service where the CMS monitors and transfers payments will address these longstanding issues.

Our proposals for the new service will be underpinned by a fairer fee structure. Fees offset the investment needed to make the reforms and contribute to the cost of using enforcement powers to re-establish compliance and reduce the burden on the taxpayer.

We considered how best to address the shortcomings of Direct Pay and concluded that a single service model, with CMS oversight of all maintenance payments, would provide greater transparency, improve compliance and better support children to receive regular maintenance.

Evidence gathered by the Department has highlighted significant shortcomings with Direct Pay. Under Direct Pay, the CMS is unable to routinely monitor whether payments are being made in full or on time, meaning non-compliance can go undetected until a parent reports a problem. Research tells us that only 60% of receiving parents in Direct Pay reported getting all of the child maintenance they are owed, and only 40% of them reported receiving it always on time. This places the burden on receiving parents to chase payments. The current arrangement can also create opportunities for economic abuse, including situations where maintenance is withheld, paid late or manipulated as a means of exerting control over a former partner. In many cases, parents may also need to maintain contact with an ex-partner to resolve payment issues, which can be distressing and particularly harmful for victims and survivors of domestic abuse.

However, moving to a single service where the CMS monitors and transfers payments will address these longstanding issues.

Our proposals for the new service will be underpinned by a fairer fee structure. Fees offset the investment needed to make the reforms and contribute to the cost of using enforcement powers to re-establish compliance and reduce the burden on the taxpayer.

We considered how best to address the shortcomings of Direct Pay and concluded that a single service model, with CMS oversight of all maintenance payments, would provide greater transparency, improve compliance and better support children to receive regular maintenance.

Evidence gathered by the Department has highlighted significant shortcomings with Direct Pay. Under Direct Pay, the CMS is unable to routinely monitor whether payments are being made in full or on time, meaning non-compliance can go undetected until a parent reports a problem. Research tells us that only 60% of receiving parents in Direct Pay reported getting all of the child maintenance they are owed, and only 40% of them reported receiving it always on time. This places the burden on receiving parents to chase payments. The current arrangement can also create opportunities for economic abuse, including situations where maintenance is withheld, paid late or manipulated as a means of exerting control over a former partner. In many cases, parents may also need to maintain contact with an ex-partner to resolve payment issues, which can be distressing and particularly harmful for victims and survivors of domestic abuse.

However, moving to a single service where the CMS monitors and transfers payments will address these longstanding issues.

Our proposals for the new service will be underpinned by a fairer fee structure. Fees offset the investment needed to make the reforms and contribute to the cost of using enforcement powers to re-establish compliance and reduce the burden on the taxpayer.

We considered how best to address the shortcomings of Direct Pay and concluded that a single service model, with CMS oversight of all maintenance payments, would provide greater transparency, improve compliance and better support children to receive regular maintenance.

The Government plans to abolish the direct pay service entirely so all parents can access the collect and pay service.

The removal of the Direct Pay service to a streamlined Collect and Pay service will enable CMS to monitor all payments and intervene promptly if an arrangement breaks down, as well as removing the need for parents to manage payment arrangements directly, providing a safer, more consistent service for families.

The Government believes that this is the most effective to improve compliance within CMS and strengthen protections for victims and survivors of domestic abuse, which includes economic abuse.

Our intention is to implement these changes as soon as Parliamentary time allows.

In the meantime, the CMS is strengthening its support for victim/survivors by making it easier for parents to switch to the Collect and Pay service through improvements to the ‘change to service type’ process. It is also being clearer in its communication about what support is available for victims and survivors of domestic abuse and how to access it.

Work is also ongoing with stakeholders to understand what additional support we can give to victims and survivors of abuse across the CMS customer journey.

The Department is committed to ensuring that Child Maintenance Service (CMS) decisions are made in a timely, accurate and fair manner, based on all relevant information provided by parents.

A Mandatory Reconsideration (MR) is the process by which a parent asks the CMS to review a decision. An MR may be requested at any stage during the lifetime of a case or following an unsuccessful application for child maintenance. Either parent can ask for an MR, but both parents will be asked to provide any information or evidence that they feel is relevant.

Where the CMS determines that the original decision was incorrect, or where additional relevant information is provided by a parent, the decision may be revised.

This process must be completed before a parent can appeal an appealable CMS decision to an independent tribunal administered by His Majesty's Courts and Tribunals Service.

The Department publishes quarterly Child Maintenance Service (CMS) official statistics. Table 9 of the latest National tables includes information on the total number of mandatory reconsideration requests received by the CMS and the outcomes occurring each quarter, and the number and percentage cleared within 28 days of receipt, from quarter ending April 2015 to quarter ending March 2026.

Table 10 of the latest National tables includes information on the total number of appeals made by parents to His Majesty's Courts and Tribunals Service to review a decision made by the CMS and the outcomes each quarter, from quarter ending April 2015 to quarter ending March 2026.

Information on the proportion of cases resulting in a reduction in child maintenance liability is not readily available and to provide it would incur disproportionate cost.

The Child Maintenance Service (CMS) operates on the principle that both parents have a financial responsibility towards their children. The Department keeps the operation of the CMS under review, including its charging arrangements and enforcement processes.

Collection fees were introduced to encourage compliance and contribute towards the cost of operating the service. The Government has consulted on reforms that would remove Direct Pay and introduce a revised charging structure, including lower fees (2%) for compliant parents while retaining higher charges (20%) for non-compliance. Alongside these reforms, we are improving support for Family-Based Arrangements so that parents for whom a private arrangement works well can manage maintenance outside the statutory scheme, helping to ensure that fees are only paid by those families who need the CMS's ongoing support

The CMS has a broad range of enforcement powers, including deductions from earnings and bank accounts, the use of enforcement agents, charging orders, passport and driving licence disqualification, and commitment to prison. In the year ending March 2026, the CMS collected £231 million through enforcement action, the highest amount collected through its enforcement powers.

Where a parent fails to pay, the CMS will take action to re-establish compliance and recover arrears, using the enforcement power most likely to secure money for children. The Government is also introducing Administrative Liability Orders, which will streamline the enforcement process and enable faster action against non-compliant parents.

The Child Maintenance Service takes account of a paying parent's financial position when setting arrears repayment arrangements. Whilst the aim must be to get on-going maintenance payments flowing and to recover arrears as quickly and reliably as possible, consideration is given to individual financial circumstances to ensure repayment rates are appropriate.

People who are self-employed are required to keep accurate records of their business income and expenses for tax purposes. HM Revenue and Customs (HMRC) can charge penalties for inaccurate reporting where it results in tax being unpaid. Information about a self-employed paying parent's income is normally obtained from HMRC.

Every year the Child Maintenance Service (CMS) conduct a review to determine what should be paid for the forthcoming year and gather new earnings information from HMRC. If a paying parent reports a change in their earnings, or challenges the income provided, CMS require a fully complete and verified Self-Assessment Tax Return, of a more current tax year than that provided previously by HMRC.

Where there is evidence that income has not been fully reflected in a child maintenance calculation, either parent may apply for a variation. Cases involving complex income, suspected misrepresentation or fraudulent behaviour may be referred to the CMS Financial Investigation Unit, which can obtain information from financial institutions to verify income and assets. Where discrepancies are identified, the CMS can recalculate maintenance and implement the correct liability in accordance with legislation.

This approach helps ensure that child maintenance calculations are based on accurate income information and that paying parents meet their responsibilities towards their children.

People who are self-employed are required to keep accurate records of their business income and expenses for tax purposes. HM Revenue and Customs (HMRC) can charge penalties for inaccurate reporting where it results in tax being unpaid. Information about a self-employed paying parent's income is normally obtained from HMRC.

Every year the Child Maintenance Service (CMS) conduct a review to determine what should be paid for the forthcoming year and gather new earnings information from HMRC. If a paying parent reports a change in their earnings, or challenges the income provided, CMS require a fully complete and verified Self-Assessment Tax Return, of a more current tax year than that provided previously by HMRC.

Where there is evidence that income has not been fully reflected in a child maintenance calculation, either parent may apply for a variation. Cases involving complex income, suspected misrepresentation or fraudulent behaviour may be referred to the CMS Financial Investigation Unit, which can obtain information from financial institutions to verify income and assets. Where discrepancies are identified, the CMS can recalculate maintenance and implement the correct liability in accordance with legislation.

This approach helps ensure that child maintenance calculations are based on accurate income information and that paying parents meet their responsibilities towards their children.

The Child Maintenance Service (CMS) operates on the principle that both parents have a financial responsibility towards their children. The Department keeps the operation of the CMS under review, including its charging arrangements and enforcement processes.

Collection fees were introduced to encourage compliance and contribute towards the cost of operating the service. The Government has consulted on reforms that would remove Direct Pay and introduce a revised charging structure, including lower fees (2%) for compliant parents while retaining higher charges (20%) for non-compliance. Alongside these reforms, we are improving support for Family-Based Arrangements so that parents for whom a private arrangement works well can manage maintenance outside the statutory scheme, helping to ensure that fees are only paid by those families who need the CMS's ongoing support

The CMS has a broad range of enforcement powers, including deductions from earnings and bank accounts, the use of enforcement agents, charging orders, passport and driving licence disqualification, and commitment to prison. In the year ending March 2026, the CMS collected £231 million through enforcement action, the highest amount collected through its enforcement powers.

Where a parent fails to pay, the CMS will take action to re-establish compliance and recover arrears, using the enforcement power most likely to secure money for children. The Government is also introducing Administrative Liability Orders, which will streamline the enforcement process and enable faster action against non-compliant parents.

The Child Maintenance Service takes account of a paying parent's financial position when setting arrears repayment arrangements. Whilst the aim must be to get on-going maintenance payments flowing and to recover arrears as quickly and reliably as possible, consideration is given to individual financial circumstances to ensure repayment rates are appropriate.