2 October 2000

MORROW INTRODUCES RADICAL SOCIAL SECURITY BILL IN THE ASSEMBLY

Maurice Morrow MLA, the Minister for Social Development, today introduced the Child Support, Pensions and Social Security Bill in the Assembly.

Commenting on the three main areas covered by the Bill, the Minister said:

"This Bill will make important changes to the Child Support System, Pension Reform and Benefit Links to Community Sentences. It will ensure that parity is maintained with what is happening in the rest of the UK.

"The proposed reform of the Child Support System will help ensure that money gets to children more speedily and effectively. The complex formula for calculating child support will be replaced by a simpler more easily understood process.

"It will introduce new penalties to ensure parents do not evade their responsibilities in the area of child support. These will include the removal of driving licences in some cases.

"The new State Second Pension will build on the State Earnings Related Pension Scheme to boost pension entitlement to low earners. It will also for

the first time provide a second tier pension for carers and long-term disabled people with broken work records.

"The Bill proposes that in the future there will be a link between the fulfilment of community sentences and the payment of benefits. Where the term of a sentence is not complied with the personal element of the offender's benefit may be reduced or withdrawn".

 NOTES TO EDITORS:

Child Support

The existing formula for calculating the maintenance liability will be replaced by a simple, more easily understood system based on a percentage of the net-earnings of the non-resident parent - 15% for one child, 20% for two children and 25% for three or more children. What is treated as income will be clarified and there will be penalties for parents who deliberately misrepresent their financial circumstances or fail to provide the information needed to calculate the maintenance. There will also be arrangements for variation of the normal rates of maintenance in exceptional circumstances.

Penalties

Where a person refuses to meet their maintenance responsibilities, there will be a new provision whereby, as an alternative to committing the person to prison, the court could disqualify from holding a driving licence for up to 2 years. In coming to its decision the court would take account of whether the licence is necessary to earn a living and the person's means.

Community Sentence

Where a court determines that a person has failed without reasonable excuse to comply with a community service or probation order and that person is receiving certain benefits, that benefit can be withdrawn for up to 26 weeks or reduced.

These provisions are being piloted in selected areas in England and Wales. They will not be piloted in Northern Ireland or introduced here until the pilot schemes in England and Wales have been evaluated.