Enda Kenny (Mayo, Fine Gael)
Link to this: Individually | In context

Question 152: To ask the Minister for Social and Family Affairs the average amount requested by his Department from liable relatives for child maintenance; and if he will make a statement on the matter. [11926/05]

Séamus Brennan (Dublin South, Fianna Fail)
Link to this: Individually | In context

Applicants for one-parent family payment are required to make ongoing efforts to look for adequate maintenance from their former spouses, or, in the case of unmarried applicants, the other parent of their child. Normally, this maintenance is obtained by way of negotiation or by court order, though separated couples are increasingly using my Department's family mediation service which is being progressively extended countrywide. Since 2001, one-parent family payment claimants are allowed to retain half of any maintenance received without reduction in their social welfare entitlements, as an incentive to seek support.

Where social welfare support is being provided to a one-parent family, the other parent is legally obliged to contribute to the cost of this payment. In every case where a one-parent family payment is awarded, the maintenance recovery unit of my Department seeks to trace the other parent, referred to as the liable relative, in order to ascertain whether he or she is in a financial position to contribute towards the cost of one-parent family payment. This follow-up activity takes place within two to three weeks of award of the payment.

All liable relatives assessed with maintenance liability are notified by my Department and they are issued with a determination order setting out the amount of contribution assessed. In assessing maintenance liability, the financial situation of each liable relative is first examined in detail. This is usually done at the same time as the one-parent family payment claim is being investigated. The assessment is based on the net income of the liable relative. Allowances are made for any child dependent she or he has residing with him or her, and also for certain outgoings such as mortgage payments, house rent or home improvement loans on the liable relative's residence. The methods of assessment of the liable relative's ability to pay are specified in detail in regulations.

The average amount of weekly maintenance assessed by the maintenance recovery unit of my Department is of the order of €84 per week. This compares with the current weekly maintenance amount set by the District Courts at €150 per child per week. Decisions on maintenance liabilities assessed by the Department can be reviewed where new information comes to light about the financial or household circumstances of a liable relative. Decisions on the amounts assessed can be appealed by liable relatives to the social welfare appeals office.

There are currently 1,946 liable relatives contributing directly to my Department. As a result of maintenance recovery unit activity, savings of €8.5 million were achieved in 2002 and €14.2 million in 2003. Savings of €16.6 million were achieved in 2004. These savings are composed of direct cash payments by the liable relative to the Department and of scheme savings. Savings on scheme expenditure arise where maintenance recovery activity leads to the liable relative beginning to pay maintenance in respect of a spouse and/or children and the consequent reduction of a one-parent family payment. In 2004, a total of 722 one-parent family payments were cancelled while a further 512 payments were reduced as a result of maintenance recovery activity.

In implementing maintenance recovery provisions to date my Department has concentrated on cases where the liable relatives concerned, being in employment or self-employment, would be in a financial position to make a contribution towards the relevant benefit or allowance being paid to their families.

Legislation allows my Department to seek recovery from liable relatives through the courts in appropriate cases. A total of 182 cases has been submitted for court action from 2001 to date. The majority of these cases have resulted either in orders being written against the liable relative in court or alternatively in the liable relative agreeing to pay a contribution to the Department or to the lone parent.