The government minister in charge of the Child Support Agency has admitted that persistent problems with the agency's new computer system is still resulting in thousands of cases getting 'stuck' in the system.

Work and Pensions Minister Maria Eagle claimed progress is being made, three months after the Commons Work and Pensions Committee complained of the 'appalling waste of public money' by an agency whose telephone and computer systems are 'over-spec, over budget and overdue'.

Ms Eagle's admission came in a Westminster Hall debate instigated by Edinburgh West Lib Dem MP John Barrett's, who claims the CSA 'is not working and has never worked.'

He is demanding that the Inland Revenue takes over the bulk of the agency's work.

'The new £465 million computer system, designed to make the agency more efficient, is struggling to cope with half the total number of CSA cases,' he told the House.

'This is totally unacceptable and, because we are talking about a service involving children, and in some cases very vulnerable children indeed, it makes this situation absolutely deplorable.'

Ms Eagle admitted: 'There are on-going problems.'

She said the new system would help - 'when we can get it to work properly.

'I am not going to say it is perfect yet. It would be foolish to say so.'

She said that contractor EDS is trying to stop cases getting stuck through a recovery programme.

'There is some progress in respect. They are progressively improving with each of the releases of the new code and fixes for the problems that have caused the sticking in the system,' she said.