The Child Support (Miscellaneous Amendments) Regulations 2018
| Jurisdiction | UK Non-devolved |
| Citation | SI 2018/1279 |
2018 No. 1279
FAMILY LAW
CHILD SUPPORT
The Child Support (Miscellaneous Amendments) Regulations 2018
Made 29thNovember 2018
Coming into force in accordance with regulation 1
The Secretary of State for Work and Pensions makes the following Regulations in exercise of the powers conferred by sections 14(1) and (3), 32A(4)(a) and (b), 32C(1) and (2)(h), (k), (l), (n), (o) and (p), 32D(1)(b), 32E(2)(a) and (b), 32F(1)(b), 32I, 32J(1) and (2)(d), (e) and (i), 32K(1)(b), 39B(8)(b) and (10), 39F(a), 40(11), 41E, 51(1) and (2)(i), and 52(4) of, and paragraph 4(1) of Schedule 4B to, the Child Support Act 1991(1):
A draft of this instrument was laid before and approved by a resolution of each House of Parliament in accordance with section 52(2)(2) and (2A)(b)(3) of the Child Support Act 1991.
PART 1
GENERAL
Citation and commencement
1.—(1) These Regulations may be cited as the Child Support (Miscellaneous Amendments) Regulations 2018.
(2) These Regulations, with the exception of regulation 3 (Part 3), come into force 14 days after these Regulations are made.
(3) Regulation 3 (Part 3) come into force 21 days after these Regulations are made.
PART 2
AMENDMENTS RELATING TO THE GROUNDS FOR VARIATION OF A MAINTENANCE CALCULATION
Amendment of the Child Support Maintenance (Calculation) Regulations 2012
2.—(1) The Child Support Maintenance (Calculation) Regulations 2012(4) are amended as follows.
(2) After regulation 69 (non-resident parent with unearned income) insert—
“Assets exceeding a prescribed value
69A.—(1) Where this paragraph applies, the other cases prescribed under paragraph 4(1) of Schedule 4B to the 1991 Act(5) are cases where the Secretary of State is satisfied that there is an asset in which the non-resident parent has a legal or beneficial interest and the value of that interest exceeds the prescribed value.
(2) In this regulation “asset” means—
(a) money, whether in cash or on deposit, including any money which is due to a nonresident parent where the Secretary of State is satisfied that requiring payment of the monies to the non-resident parent immediately would be reasonable;
(b) gold, silver or platinum bullion bars or coins;
(c) a virtual currency which is capable of being exchanged for money;
(d) land or rights in or over land;
(e) shares within the meaning of section 540 of the Companies Act 2006(6);
(f) stock and unit trusts within the meaning of section 6 of the Charging Orders Act 1979(7);
(g) gilt edged securities within the meaning of paragraphs 1 and 1A of Part 1 of Schedule 9 to the Taxation of Chargeable Gains Act 1992(8); or
(h) a chose in action which has not been enforced on the date of an application for a variation under regulation 56 and where the Secretary of State is satisfied that such enforcement would be reasonable.
(3) In this regulation “asset” includes any asset which is subject to a trust where the nonresident parent is a beneficiary.
(4) Paragraph (1) does not apply in the case of any asset which—
(a) has been received by the non-resident parent as compensation for personal injury suffered by the non-resident parent;
(b) is being used in the course of the non-resident parent's trade or business;
(c) the Secretary of State is satisfied could have been purchased from the gross weekly income of the non-resident parent which has been taken into account for the purposes of a maintenance calculation;
(d) will need to be sold in order to meet any additional maintenance payment required as a result of a variation under paragraph 4(1) of Schedule 4B to the 1991 Act where the Secretary of State is satisfied that the sale of that asset would cause hardship to a child of the non-resident parent, or would otherwise be unreasonable having taken into account all relevant circumstances; or
(f) is a legal or beneficial interest in land where the land in question is the primary residence of the non-resident parent or any child of the non-resident parent.
(5) The “prescribed value” is £31,250.
(6) In the case of an asset which is subject to a mortgage or charge, the value of that asset will be its value after a deduction is made for any amount owing under the mortgage or charge.
(7) The Secretary of State shall calculate the weekly value of an asset by applying the statutory rate of interest to the value of the asset and dividing by 52.
(8) For the purposes of this regulation—
“statutory rate of interest” means interest at the statutory rate prescribed for a judgment debt(9) or, in Scotland, the statutory rate of interest included in or payable under a decree in the Court of Sessions applicable on the date upon which the variation takes effect;
“virtual currency” means a digital representation of value which is not issued by a central bank or a public authority; is accepted by natural or legal persons as a means of payment; and can be transferred, stored or traded electronically.”.
PART 3
AMENDMENTS RELATING TO DEDUCTIONS FROM JOINT AND BUSINESS ACCOUNTS
Amendment of the Child Support (Collection and Enforcement) Regulations 1992
3.—(1) The Child Support (Collection and Enforcement) Regulations 1992(10) are amended as follows.
(2) In regulation 25A (interpretation of this Part)—
(a) in paragraph (1)–
(i) before the definition of “assessable income” insert—
““another account-holder” means an account-holder other than the liable person in a case where a regular deduction order or a lump sum deduction order is proposed or made in respect of a joint account”; and
after the definition of “gross weekly income”(11) insert—
““joint account” includes an account used by a partnership(12) formed in England or Wales, of which the liable person is a partner”;
(b) in paragraph (3)(b), after “liable person” insert “or (where the order is made in respect of a joint account) another account-holder”; and
(c) in paragraph (4), for “or a liable person” substitute “, a liable person or another account-holder”.
(3) After regulation 25A insert—
“Regular deduction order in respect of a joint account
25A1.—(1) Before making a regular deduction order in respect of a joint account the Secretary of State shall serve a notice containing the information set out in paragraph (2) and the further information set out in paragraph (3) or (4) (as appropriate).
(2) The information for each account-holder is—
(a) that the Secretary of State is proposing to make an order in respect of the account;
(b) the name of the liable person;
(c) the number and sort code of the account;
(d) that the order would be made to secure the payment of child support maintenance payable by the liable person;
(e) the dates on which the Secretary of State is proposing to make deductions under the order;
(f) that each account-holder has an opportunity to make representations to the Secretary of State about the matters in sub-paragraphs (a) and (e);
(g) that the order is likely to be made in the terms set out in the notice if representations are not made; and
(h) the period for making representations.
(3) The further information to the liable person is—
(a) the amounts that the Secretary of State is proposing to deduct under the order in respect of arrears of child support maintenance payable under the calculation and amounts of child support maintenance which will become payable under the calculation;
(b) that the liable person has an opportunity to make representations to the Secretary of State about the matters in sub-paragraph (a);
(c) that the order is likely to be made in the terms set out in the notice if representations are not made; and
(d) the period for making representations.
(4) The further information to another account-holder is—
(a) the amounts that the Secretary of State is proposing to deduct under the order;
(b) that another account-holder has an opportunity to make representations to the Secretary of State about the matters in sub-paragraph (a);
(c) that the order is likely to be made in the terms set out in the notice if representations are not made; and
(d) the period for making representations.
(5) The period for making representations to the Secretary of State in respect of the matters referred to in paragraphs (2)(a), (e) and (3)(a) or (4)(a) is—
(a) 14 days, beginning with the day on which the account-holder receives the notice; or
(b) such longer period as the Secretary of State considers reasonable in the circumstances of the case.
(6) A regular deduction order may not be made before the period for making representations has expired and the Secretary of State has considered any representations in respect of the matters referred to in paragraphs (2)(a), (e) and (3)(a) or (4)(a) made to the Secretary of State during that period.”.
(4) In regulation 25E (notification by the deposit-taker to the Secretary of State)—
(a) in paragraph (1) omit “in writing”; and
(b) after paragraph (5) insert—
“(5A) The deposit-taker at which a regular deduction order is directed must within 7 days of changing the name of an account-holder, beginning with the day on which the deposit-taker changes that name, notify the Secretary of State of the old name of the account-holder and the new name of that account-holder, if the order—
(a) is made in respect of a joint account; and
(b) remains in force at any time within that 7 day period.”.
(5) In regulation 25G (review of a regular deduction order)—
(a) for paragraph (1) substitute—
“(1) The following persons may apply to the Secretary of State for a review of a regular deduction order—
(a) a deposit-taker at which the order is directed;
(b) the liable person against whom the order is made; or
(c) another account-holder (in the case of an order made in respect of a joint account).”; and
(b) in paragraph (2)—
(i) in sub-paragraph (a) for “the liable person or the deposit-taker” substitute “the liable person, the deposit-taker or another account-holder (in the case of an order made in respect of a joint account)”;
(ii) at the beginning of sub-paragraph (b) insert “the applicant is the...
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