Cost of collecting child support skyrockets

Wednesday 8 Dec 2004

Dr Muriel Newman -Press Releases - Social Welfare

ACT Deputy Leader and Social Welfare spokesman Dr Muriel Newman today revealed that the cost of collecting child support has skyrocketed by nearly 25 percent since 2000.

"Answers to my written parliamentary questions show that the cost of operating the Child Support Agency has increased by 24 percent in four years - from $44,460,000 in June 2000, to $55,571,000 in June 2004," Dr Newman said.

"Social Development Minister Steve Maharey has spent millions of taxpayers' dollars on beefing up the agency responsible for collecting parental child support payments.

"Despite this extra spending the level of child support debt has ballooned to a disgraceful $873 million - an increase of 124 percent over the same four year period.

"New Zealanders have the right to expect that when their money is spent they will see some benefit. Here all we have is a burgeoning bureaucracy and a Labour Government not delivering results.

"Mr Maharey must be accountable for the spend-up and his failure to achieve any progress. It just isn't acceptable for this kind of mediocrity to continue," Dr Newman said.

ENDS

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