David Laws, Lib Dem MP for Yeovil, yesterday stated in a motion about the Child Support Agency that tax credits and child maintenance collection have been sited in the wrong agencies.

Child support, which is about the collection of money, is in the DWP (who pay benefits), whereas Tax Credits, which is the payment of money, is in HMRC (or Inland Revenue as was) who collect taxes.

He raised the issue of whether the systemic problems that have plagued both systems are as a result of this confusion.

Does anyone else think that he has a point?

Whole debate is in Hanasard Child Support Agency

There's some logic in his point although, of course, HMRC pay out lots of money in rebates and VAT repayments and DWP collect overpayments, recover damages payments etc.

It's interesting that his view of the CSA is that it's there to collect money; I always thought it was there to pay money to parents with care and so did fit on his criteria.

THe real Tax Credit issues within HMRC of course are those of an organisation that's always done things, slowly, in arrears after the end of tax years having to deal with people who need money this week to eat.

If it wasn't that the chancellor can point out that TCs are negative taxes and not benefits then they might fit in better with DWP culture but then they would destroy all his targets on reducing social security expenditure and blow his golden rules.

He may well be right - either way, he exhibits a sense of humour more befitting a Rightsnet contributor than an MP..........

story on the debate now in rightsnet news .... though doesn't include the following exchange -

Parliamentary Under-Secretary of State for Work and Pensions (Mrs. Anne McGuire): I was elected in 1997, and I remember dealing with my first CSA complaint. It was a bit like going on my first date. (Interruption.) The emotions and issues were complex ...

Rob Marris: Tell us more about the date.

Mrs. McGuire: I led a very boring life, but I remember the amount and complexity of the paperwork involved, and the number of calculations that had to be made.

Mr. Heath: I want to hear about the CSA ....

  

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