23 April 2020
Coronavirus: Child maintenance cuts
There are few households that will not be feeling financial pressure at the moment.
As we progress through lockdown and try to relax into this new-normal, ever more issues and concerns are coming to light.
The BBC published an article online yesterday (https://www.bbc.co.uk/news/uk-england-52386775) noting the inevitable knock-on effect of furloughing people and the lockdown, has had on child maintenance payments and the increased number of enquiries now being made by parents to charities for help.
For those unaware, child maintenance payments are calculated as a statutory percentage of a person’s salary based on how many nights a year the child does/does not spend in their care. If a payer becomes unemployed (or furloughed) and therefore has no income or a reduced income, the calculation can be adjusted accordingly.
The logic behind this is to ensure that the payer does not end up in financial hardship as a result of a too-high payment when income is reduced. However, to the receiving parent who is relying on this monthly payment to support and care for the relevant child, this potentially puts them in financial hardship.
Similar issues are likely to arise in relation to spousal maintenance payments.
These are difficult and uncertain times for everyone. If you have any concerns or questions please do get in touch with us on 01753 889995 or email enquiries@bpcollins.co.uk.
