Carer’s Allowance is a UK government benefit designed to support individuals who provide significant care for someone with a disability or serious health condition. This benefit provides financial assistance to help carers manage their responsibilities while maintaining some level of financial stability. Below is a detailed guide on eligibility, payment amounts, and recent updates to the Carer’s Allowance scheme.
Eligibility for Carer’s Allowance
To qualify for Carer’s Allowance, applicants must meet the following requirements:
1. Age and Residency Requirements
Applicants must be at least 16 years old and have lived in England, Scotland, or Wales for at least two of the last three years. In some cases, exceptions apply for individuals who have lived in Northern Ireland or have specific immigration status that allows them to claim benefits.
2. Caring Responsibilities
The applicant must spend at least 35 hours per week providing care for someone who receives one of the following qualifying disability benefits:
- Personal Independence Payment (PIP) – Daily Living Component
- Disability Living Allowance (DLA) – Middle or Highest Care Rate
- Attendance Allowance
- Constant Attendance Allowance (paid with Industrial Injuries Disablement Benefit or War Pension)
- Armed Forces Independence Payment
Providing care can include tasks such as helping with daily activities, cooking, cleaning, administering medication, or assisting with mobility. The care provided does not have to be full-time, but it must meet the 35-hour weekly requirement.
3. Income and Employment Restrictions
To be eligible, applicants must earn £151 or less per week after deductions such as tax, National Insurance, and certain allowable expenses, including pension contributions and care costs for children or disabled adults.
Applicants cannot be in full-time education or studying for 21 hours or more per week. Part-time students or those enrolled in short courses may still be eligible if they meet the work and earnings criteria.
Carer’s Allowance Payments
As of March 2025, the weekly Carer’s Allowance rate is £81.90. Payments are usually made every four weeks, totaling approximately £327.60 per month. However, claimants can request weekly payments if needed.
Carer’s Allowance is taxable if the recipient’s total income exceeds the Personal Allowance threshold set by HM Revenue & Customs (HMRC). Receiving this allowance may also impact other benefits, including Universal Credit, Pension Credit, and the benefits received by the person being cared for. In some cases, the “Carer Premium” or “Carer Addition” may apply to boost other benefits.
If you live in Scotland, Carer’s Allowance has been replaced by the Carer Support Payment, which provides similar financial assistance. Carers in Scotland may also receive Carer’s Allowance Supplement, an additional payment made twice a year.
Recent Updates on Carer’s Allowance
Earnings Limit Increase
The UK government has announced an upcoming increase in the earnings threshold for Carer’s Allowance. The current earnings limit of £151 per week will be raised by £45, allowing carers to earn up to £196 per week while still receiving the benefit. This change aims to support carers who need to work part-time to supplement their income while providing care. The official implementation date for this change has not yet been confirmed.
Budget 2024 Announcements
The Autumn Budget 2024 introduced several measures aimed at supporting carers, including an increase in the National Living Wage and adjustments to tax thresholds. These changes are designed to improve financial stability for low-income earners, including those receiving Carer’s Allowance.
Additionally, the government has committed to reviewing the overall structure of Carer’s Allowance to ensure it provides better financial support for those who dedicate significant time to unpaid caregiving.
How to Apply for Carer’s Allowance
Eligible individuals can apply for Carer’s Allowance through the official UK government website. The application can be completed online or by requesting a paper form. Applicants will need to provide information such as:
- National Insurance number
- Details about their income and employment status
- Information about the person they care for, including their benefit details
- Bank account information for receiving payments
The processing time for applications varies, but most claims are assessed within six to eight weeks. If approved, payments can be backdated for up to three months if the applicant met the eligibility criteria during that period.
To check eligibility or apply, visit the official UK government website:
👉 www.gov.uk/carers-allowance
By staying informed about these updates and changes, carers can ensure they receive the financial support they are entitled to while continuing to provide essential care for their loved ones.
