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Chapter D3: Deductions from benefit in respect of FRM & CMD UC, JSA & ESA

Contents
D3001:Introduction
Definitions
D3005:Meaning of Fee
D3006:Meaning of beneficiary
D3007:Meaning of maintenance..... ...............................................................
D3008:Meaning of non-resident parent
D3009:Meaning of person with care
D3010:Meaning of specified benefit
D3011:Deductions from specified benefit
D3016:Amount of specified benefit to be left after deduction of FRM or CMD
D3020:Arrears
D3027:Apportionment

Claimant and partner liable to pay maintenance
D3029:FRM deductions
D3032:CMD

Claimant or partner liable to pay maintenance
D3035:CMD
D3041:Priority of deductions
D3042:Notice
D3043:Prevention of duplicate deductions

Chapter D3: Deductions from benefit in respect of FRM & CMD UC, JSA & ESA

D3001 Introduction

Guidance within this section deals with deductions made under the 2003 scheme
and the 2012 scheme.

D3002

Deductions from a specified benefit under the 2003 scheme are referred to as a
FRM deduction.

D3003

Deductions from a specified benefit under the 2012 scheme are referred to as a
CMD.

D3004

Definitions

D3005 Meaning of Fee

Fee (1) means any collection fee under specified legislation (2) which is payable by the
NRP.
1 UC, PIP, JSA & ESA (C&P) Regs, Sch 7, para 1; 2 Child Support Fees Regulations 2014, part 3

D3006 Meaning of Beneficiary

Beneficiary (1) means a person who has been awarded a specified benefit.
1 UC, PIP, JSA & ESA (C&P) Regs, Sch 7, para 1

D3007 Meaning of Maintenance

Maintenance, with the exception of D3020 to D3023, means (1) child support
maintenance which a NRP is liable to pay at a flat rate (or would be so liable but for
a variation having been agreed to), and that rate applies (or would have applied)
because the NRP falls within specified legislation (2).
1 UC, PIP, JSA & ESA (C&P) Regs, Sch 7, para 1; 2 CS Act 91, Sch 1, para 4(1)(b), 4(1)(c) or 4(2),
Child Support, Pensions and Social Security Act 2000, s 29(3)(A)

D3008 Meaning of non-resident parent

Non-resident
parent (1) means
1. that parent which is not living in the same household with the child and
2. the child has his home with a person who is, in relation to him, a person with
care.
1 CS Act 91, s 3(2)

D3009 Meaning of Person with Care

A person is a person with care (1) as defined within specified legislation (2).
1 UC, PIP, JSA & ESA (C&P) Regs, Sch 7, para 2(5); 2 CS Act 91, s 3

D3010 Meaning of specified benefit

Specified
benefit (1) means
1. UC
or
2. new style JSA (hereafter referred to as JSA) or
3. new style ESA.(hereafter referred to as ESA)
Note 1: ADM chapter M1 contains guidance on the meaning of new style JSA and
new style ESA.
Note 2: The term specified benefit has a different meaning under this section to the
CTM scheme detailed in D2225 et seq.
1 UC, PIP, JSA & ESA (C&P) Regs, Sch 7, para 1

D3011 Deductions from specified benefit

The CMS will decide under which scheme the child maintenance liability is to be
assessed.

D3012

Where the CMS DM determines that the NRP is liable for a CMD, the CMS DM will
also determine whether that deduction is at a standard or non-standard rate.

D3013

Requests for FRM deductions or CMD and any fee will be sent
1. electronically, to the relevant DWP IT system, or
2. manually, to the relevant DWP benefit centre.
The request may be on behalf of a NRP who is in receipt of a specified benefit, or is
the partner of a claimant who is in receipt of a specified benefit, and paid to the
PWC (1).
Note 1: From 11.8.14, any collection fee payable by a NRP may be deducted and
retained in discharge of the NRP's liability to pay that fee.
Note
2: Charging of any collection fee will only apply to new applications made
under the 2012 scheme.

1 UC, PIP, JSA & ESA (C&P) Regs, Sch 7, para 2(1)

D3014

A deduction for maintenance and any fee may only be made from one specified
benefit in respect of the same period (1).
1 UC, PIP, JSA & ESA (C&P) Regs, Sch 7, para 2(2)

D3015

D3016 Amount of specified benefit to be left after a deduction of FRM or CMD

No amount may be deducted from the claimant's award of ESA or JSA, if it would
reduce the amount of benefit payable to the claimant to less than 10 pence (1) .

1 UC, PIP, JSA & ESA (C&P) Regs, Sch 7, para 2(3)

D3017

No amount may be deducted from any UC awarded to the claimant, if it would
reduce the amount payable to the claimant to less than 1 penny (1) .
1 UC, PIP, JSA & ESA (C&P) Regs, Sch 7, para 2(4)

[D3018-D3019]

D3020 Arrears « D3007

No deduction will be made for arrears of child maintenance under the 2012 scheme.

D3021 « D3022 « D3023

Except where UC is awarded to the beneficiary, a FRM deduction of £1.20 per week
may be made from ESA or JSA which the beneficiary has been awarded, and
subject to D3022, paid to the PWC, to discharge the beneficiary's liability to pay
arrears of maintenance. Any amount deducted in respect of a fee may be retained in
discharge of any liability to pay that fee (1) .

1 UC, PIP, JSA & ESA (C&P) Regs, Sch 7, para 3(1)

D3022 « D3021

Where deductions are made under D3021, the deductions may be retained by the
Secretary of State (1) in circumstances set out in specified legislation (2) .
1 UC, PIP, JSA & ESA (C&P) Regs, Sch 7, para 3(2);

2 CS (Arrears, Interest, and Adjustment of Maintenance Assessments) Regs 92, reg 8

D3023 « D3007

Within D3021, the meaning of maintenance (1) is periodical payments of CSM which
are required to be paid in accordance with a maintenance calculation, as defined
within specified legislation (2) .
1 UC, PIP, JSA & ESA (C&P) Regs, Sch 7, para 3(3); 2 CS Act 91, s 3(6)

[D3024-D3026]

D3027 Apportionment

Where maintenance is payable to more than one PWC (1), the amount deducted in
respect of maintenance must be apportioned between the persons with care in
accordance with specified legislation (2) .

1 UC, PIP, JSA & ESA (C&P) Regs, Sch 7, para 4; 2 CS Act 91, Sch 1, paras 6, 7 & 8

D3028

Claimant and partner liable to pay maintenance

D3029 FRM deductions

An FRM deduction applies where the beneficiary and that person's partner are each
liable to pay maintenance at a flat rate under the 2003 scheme, and either of them
has been awarded UC, whether as a single claimant or as joint claimants (1).

1 UC, PIP, JSA & ESA (C&P) Regs, Sch 7, para 5(1)

D3030

An amount not exceeding an amount equal to the flat rate of maintenance may be
deducted (1) from such an award in respect of the total liability of both partners to pay
maintenance in the proportions described in specified legislation (2), and must be paid
to discharge the respective liabilities to pay maintenance.
1 UC, PIP, JSA & ESA (C&P) Regs, Sch 7, para 5(2); 2 CS (MCSC) Regs, reg 4(3), CSMC Regs, reg 44(3)

D3031

D3032 CMD

An amount not exceeding an amount equal to the flat rate of maintenance and any
fee may be deducted (1) from such an award in respect of the total liability of both
partners to pay maintenance and any fee in the proportions described in specified
legislation (2), and must be paid to discharge the respective liabilities to pay
maintenance.

1 UC, PIP, JSA & ESA (C&P) Regs, Sch 7, para 5(2); 2 CS (MCSC) Regs, reg 4(3), CSMC Regs, reg 44(3)

D3033

In a case where the claimant and their partner are
1. both NRPs and
2. in receipt of a specified benefit and
3. both liable for a standard or non-standard rate of CMD and any fee
the total sum of the deduction for each NRP must not exceed the flat rate of
maintenance and any fee (1).
Note 1: Where UC is awarded and the claimant and partner are both liable to pay a
standard rate of maintenance, one deduction of £30.33 per month will be taken from
the award of UC. CMG will then apportion that deduction between the persons with
3
care .
Note 2: the amount of any fee may be retained in discharge of any liability to pay
that fee.
1 UC, PIP, JSA & ESA (C&P) Regs, Sch 7, para 5(2); CSMC Regs, reg 44(3); CS (MCSC) Regs, reg 6;

3 UC, PIP, JSA & ESA (C&P) Regs, Sch 7, para 4

D3034

In a case where the claimant and their partner are both NRPs, there could be a mix
of CMDs at a standard and non-standard rate of deductions.
Claimant or partner liable to pay maintenance

D3035 CMD

In the case where the claimant or their partner is
1. a NRP and
2. in receipt of a specified benefit and
3. liable for a standard or non-standard rate of CMD and any fee
the amount of the standard rate deduction is £7.00 per week (£30.33 per month) and
the non-standard rate deduction is any amount up to and including £6.99 per week
(£30.29 per month). The amount of any fee may be retained in discharge of any
liability to pay that fee (1).
1 UC, PIP, JSA & ESA (C&P) Regs, Sch 7, para 2(1); CS Act 91, Sch 1, part 1, para 4(1)

[D3036-D3040]

D3041 Priority of deductions

FRM deductions and CMD are not subject to being Third Party Deductions (TPD).
However they are included within the list showing the priority order for certain types
of debt (D2043 8.). Therefore, where there is more than one deduction being made
and there is insufficient UC in payment or all of the deductions, were they to be
made would exceed the maximum 40% deduction rate, the priority order (1) listed at D2043should be followed.
1 UC, PIP, JSA & ESA (C&P) Regs, Sch 6, para 4

D3042 Notice

When FRM or CMD deductions commence, the DM must notify the beneficiary in
writing of the amount and frequency of the deduction and the benefit from which the
deduction is made. Further notice must be given when there is a change to any of
the particulars specified in the notice (1).
1 UC, PIP, JSA & ESA (C&P) Regs, Sch 7, para 6

D3043 Prevention of duplicate deductions

Where a deduction from benefit applies under specified legislation (1), no deduction
from benefit will be made under alternative specified legislation (2) unless the amount of
1. new style ESA or
2. new style JSA or
3. UC
Is insufficient to meet the deduction (see DMG 33609 (IS/JSA(IB)), DMG 46421
(ESA(IR)), DMG 79895 (SPC).
1 UC, PIP, JSA & ESA (C&P) Regs, Sch 7, para 5; 2 SS (C&P) Regs, Sch 9B, paras 5 & 6

[D3044-D3999]