Select Committee on Work and Pensions Second Report


Conclusions and recommendations


1.  The Committee recommends that the Department supplies management information by 24 March 2005 or that external consultants be engaged by 1 May 2005 to provide by 1 November 2005 detailed up-to-date management information. (Paragraph 38)

2.  We recommend that a detailed CSA strategy, with a contingency plan, including an abandonment option, be made available to Parliament before 24 March 2005. (Paragraph 40)

3.  We recommend that the National Audit Office undertakes a comprehensive study of the background to the CSA contract with EDS, as soon as it is feasible to do so and that Parliament should debate the findings in Government time on the floor of the House. (Paragraph 45)

4.  We recommend that the Secretary of State makes a statement in the House on the progress made in migration and conversion of CSA cases before the scheduled date for the House to rise for the Easter recess i.e. 24 March 2005. (Paragraph 61)

5.  We recommend that both DWP and CSA create, maintain, and disclose publicly, records of the staff time and costs associated with the delayed introduction of CS2. (Paragraph 65)

6.  We recommend that the CSA estimates: how long it will take to put into payment all outstanding cases still awaiting a maintenance calculation; how long it will be before it expects new claims to be completed within six weeks; and how long it will take for new case information to be accurately collected and passed to the CSA within three working days of being accepted by JobcentrePlus. We recommend that these estimated dates are made available to Parliament before 24 March 2005. (Paragraph 82)

7.  The Committee recommends that a strategy for increasing the accuracy rate of maintenance calculations be developed and published by 24 March 2005. (Paragraph 85)

8.  We recommend that the Department investigates the reasons for the comparatively low assessments under the new scheme. We also recommend that the Agency ensures that both parents are, in writing and at least once a year, kept fully informed of the procedure for notifying the CSA of changes in the non-resident parent's income. (Paragraph 89)

9.  We recommend that new powers be granted by Parliament to ensure compliance by self employed non-resident parents including the prevention of deprivation of income deliberately to evade CSA liability. (Paragraph 94)

10.  The Committee recommends that, before 24 March 2005, the CSA sets target levels of compliance on old scheme cases. (Paragraph 98)

11.  We recommend that up-to-date cash and case compliance statistics for the new CSA system are made available to Parliament before 24 March 2005 (Paragraph 101)

12.  We strongly recommend that a debt reduction target and a strategy to reduce debt be published by 24 March 2005, without fail. (Paragraph 108)

13.  We recommend that the CSA urgently adopts the "whole service" approach to case management and compliance across all departments of the Agency as was intended in the first place. (Paragraph 124)

14.  The Committee recommends closer coordination - drawing on information available concerning the Australian system of Family Relationship Centres - of services provided across all central government departments and agencies including the Department of Constitutional Affairs, Department for Education and Skills to help provide preventative and family support systems at an early stage of prospective family breakdown. (Paragraph 128)

15.  The Committee recommends that the CSA urgently evaluates the performance of the Maintenance Direct pilot and publishes the results. We also recommend that the roll-out is closely monitored to ensure that case compliance is maintained and the Agency takes over collection as soon as they are aware of problems occurring. (Paragraph 132)

16.  The Committee recommends that if a strategy on case migration from the old to the new system has not been set by 24 March 2005, the Government should tackle the statutory problems and introduce the £10 Child Maintenance Premium for old scheme cases. (Paragraph 137)

17.  The Committee recommends that an urgent investigation should be undertaken into the reasons for the lower than expected numbers of Child Support Premiums being paid under the new system. (Paragraph 139)

18.  We recommend that the DWP undertakes a cost/benefit analysis of raising the Child Maintenance Premium and completely disregarding child support payments. (Paragraph 142)

19.  The Committee recommends that more research be done by the DWP on guaranteed child support. (Paragraph 152)

20.  The Committee recommends that the Department investigates the feasibility of marking all DEOs in payment on P45 Forms provided to new employers; and to make existing DEOs automatically transferable to new employers. (Paragraph 155)

21.  The Committee recommends that Deduction of Earnings Orders should in future be a standard method of payment for all CSA liabilities due from employed non-resident parents who default on more than 2 payments in any rolling 12 month period. (Paragraph 157)

22.  The Committee recommends that Parliament provides, greater administrative powers to the CSA to recover arrears of maintenance, but, because of the very poor levels of CSA accuracy, there will need to be appropriate administrative appeal rights for the non-resident parent, which should not include a stay pending an appeal's outcome. (Paragraph 167)

23.  The Committee recommends that the Department investigates the feasibility of driving licence removal from non-compliant non-resident parents becoming an administrative rather than a judicial process and its use of such power at a much earlier stage in enforcement. Once again, though, it would seem imperative, in view of the CSA's lamentable record of inaccuracy, that there should be an administrative appeal system, but without a stay pending the determination of the appeal. (Paragraph 172)

24.  The Committee recommends that Parliament provides additional powers, backed by court sanctions, to require NRPs to provide current address and contact details to the CSA. We also recommend that utility companies should be required to provide a NRP's contact details to the CSA on request. (Paragraph 177)

25.  The Committee recommends that the CSA makes much greater use of its already wide-ranging powers of access to information and, if necessary, that the Department revisits the list of organisations that have a statutory duty to disclose information to the CSA, with a view to extending the range and number of organisations covered. (Paragraph 182)

26.  The Committee recommends that the Department further examines the use of travel bans and passport withdrawal as a child support enforcement tool for the non-resident parents who persistently default on their child support commitments. (Paragraph 192)

27.  The Committee recommends that the CSA publishes a revised strategy for staff training from front-line staff to senior managers to be made available to Parliament before 24 March 2005. (Paragraph 199)

28.  We believe that the senior management team are responsible for a multitude of problems within the Agency: they did not recognise that the new IT system (if and when working) needs to be accompanied by a business transformation; not least, they failed to lead the Agency through a significant cultural shift; there is an apparent lack of adequate training for frontline staff; guidance and procedures appear to be lacking; and there is little evidence of adequate monitoring to ensure that frontline staff follow procedures. The 2004-05 focus on supporting staff, outlined in the CSA's Annual Report and Business Plan, also refers to planned efforts to develop the managers within the Agency, and the Committee recommends that this is prioritised and reviewed during the coming year. (Paragraph 201)

29.  The Committee strongly recommends that reductions in the CSA staff levels are suspended until the IT system has proved to be fully functioning and all old scheme cases have migrated onto the new system and been recalculated using the new scheme. (Paragraph 207)

30.  The Committee recommends that consideration must be given to the option of winding up the Child Support Agency and plans made for an alternative set of policies that work, in order to provide financial support for children in future. We also recommend that our successor Committee considers alternative policies in the event of the CSA being wound up. (Paragraph 226)


 
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