Embarking on the university journey is a significant milestone, not just for the student but also for their parents, particularly given the financial considerations associated with further study.
The transition from school to university often prompts consideration of family finances including existing child maintenance arrangements.
In this detailed exploration, we delve into the nuances of how a child's university education influences child maintenance, providing clarity and insights for parents navigating this phase.
When does responsibility for child maintenance extend to university education?
As children step into their university phase, the question arises: does the obligation to pay child maintenance continue? The answer hinges on specific circumstances and the type of maintenance arrangement in place.
Statutory maintenance and university students
In cases where child maintenance is managed through the Child Maintenance Service (CMS), the obligation generally concludes when the child turns 16 or completes advanced education (A-levels or equivalent).
Consequently, CMS arrangements don't extend to university education. This cessation is rooted in the CMS's definition of 'qualifying children', which doesn't encompass those pursuing higher education.
Court-ordered maintenance agreements
For parents who previously divorced, the situation can differ. Some parents may have reached a consensus in their divorce settlement provisions for one parent to provide child maintenance throughout university, often in recognition of the fact that children spend time at home during holidays.
Sometimes it is also agreed within the order that one parent will pay university fees and extra or that both parents will meet these costs in certain proportions.
Therefore, it's imperative to review the specific terms of any court order to see what was agreed at the time of the divorce.
The financial realities of university education: a closer look
University education brings with it a host of expenses, from tuition fees to living costs. These costs significantly influence decisions around child maintenance during this period.
Tuition fees and maintenance loans: understanding the costs
UK universities charge tuition fees, which can be offset through tuition fee loans available to students. Additionally, students can access maintenance loans to help cover living expenses.
However, these loans might not fully cover the actual costs incurred, leaving a financial gap.
The Russell Group recently reported that students stand to lose out on £1500 a year as maintenance loans fail to keep up with inflation. It should be no surprise then that the Student Money Survey 2023 found that maintenance loans fall short of covering students living costs by £582 per month.
They also reported that 82% of students worry about making ends meet.
The role of parents in bridging the financial gap
Parents often step in to bridge this financial gap. This support can be viewed as a continuation of child maintenance, albeit in a different form. It's crucial for parents to discuss and agree upon how they will contribute to their child's university costs.
Seeking continued financial support for children: understanding your options
Can you request ongoing financial support from the other parent?
- Eligibility for court application: if there's no existing order and child maintenance is set to end after secondary school, a parent can seek court intervention under the Children Act 1989, Schedule 1. This is viable if the child is in, or about to start, education or training, and the application is made before they turn 18.
Exceptions and importance of timely applications
- Missed deadlines: if the application wasn't made before the child's 18th birthday, adult children still in education or training can apply themselves for financial support from their parents, as long as the parents are not cohabiting.
- Restrictions on applications: a child cannot apply if a child maintenance order was active just before their 16th birthday. This underscores the importance for parents to consider extending existing maintenance orders before they lapse, to avoid leaving the child without support options.
Types of financial support available
- Options under Schedule 1: applications can be made for periodic payments (ongoing maintenance) or a one-time capital lump sum. This can cover tuition, accommodation, and other essential expenses.
Distribution of financial support
- Payment methods: upon a successful application, the court or the involved parties can decide the payment method. Options include:
- direct payment to the other parent for controlled spending
- payment directly to the child
- a hybrid approach, with a portion to the parent and the majority to the child, reflecting time spent at home and at university
This simplified guide aims to provide clarity on the options available for continued financial support for children in education or training. Understanding these options and acting timely can ensure that the necessary financial support is in place for your child's educational journey.
Key court considerations in a Schedule 1 application
When a court evaluates a Schedule 1 application, several critical factors are taken into account to ensure a fair and comprehensive decision. These include:
- financial profiles of the parties: the court considers the current and future financial status of each party, including income, earning capacity, property, and other financial resources
- future financial responsibilities: the anticipated financial needs, obligations, and responsibilities of each party are also considered
- child's financial needs: a primary focus is on the financial requirements of the child involved
- child's resources and abilities: the court looks into the child's income, earning capacity, property, and other financial resources
- child's health and education: any physical or mental disabilities of the child and their educational or training expectations are important considerations
- step-parent's role: in cases involving a step-parent, the court assesses their responsibility for the child's maintenance, especially if they knew the child was not biologically theirs
It's important to note that each case is unique and judged on its specific details. Generally, courts may hesitate to mandate parental financial support beyond the child's age of 18.
The decision is based on the child's needs and the parents' ability to provide support, rather than seeking an equal division between the parents. We recommend seeking the advice of a specialist family solicitor before making a Schedule 1 application.
Avoiding court: alternative dispute resolution
Going to court can be a stressful, time-consuming, and expensive process. To avoid this, consider the following alternatives:
- negotiation through solicitors: parents may try to reach an agreement with the help of legal professionals
- mediation: this involves a neutral third party helping to facilitate a mutually agreeable solution
- collaborative law and arbitration: these are other effective dispute resolution methods, particularly suitable for such cases
Remember, these methods are voluntary. If one party is unwilling to participate, a court application might be the only option.
Conclusion
It is an inescapable reality that most children continue to need financial support even when they go off to university and it can be extremely worrying when one parent abruptly stops contributing.
If necessary, parents or their adult children can pursue dispute resolution processes or make a court application to seek financial support by the non-paying parent. Such applications are difficult to litigate, and legal advice is highly recommended.
Get in touch
If you would like to speak with a member of the team you can contact our family and children solicitors by email, by telephone on +44 (0)20 3826 7520 or complete our enquiry form.
