Overview

• The reform will require every parent to use a unified collect and pay system from 2027/28, subject to ministerial approval.
• Under the current setup, 440,000 parents make fee-free direct payments while 310,000 use a collect and pay service that charges 20% to payers and 4% to receivers.
• Official data shows only 60% of direct-pay users receive all maintenance owed and just 40% say payments always arrive on time.
• Single-parent charity Gingerbread hailed the changes as a significant win for vulnerable families but warned that careful implementation is crucial to avoid unintended consequences.
• The Department for Work and Pensions plans to consult on reforms to how maintenance is calculated, signaling further adjustments ahead.