A major Carer’s Allowance shake-up from 6th April could mean thousands of unpaid carers now qualify for nearly £4,500 a year – but many may not realise it
Thousands of unpaid carers across the UK are being urged to check whether they could now qualify for extra financial support, as changes to Carer’s Allowance come into force.
From 6th April, both the weekly payment rate and the earnings limit for Carer’s Allowance will increase – a move that could make the benefit accessible to more people balancing work with caring responsibilities.
The weekly rate will rise by £3.15, increasing from £83.30 to £86.45, which amounts to £4,495.40 a year.
But for many households, the more significant change will be the rise in the earnings threshold.
From next week, carers will be able to earn up to £204 a week after certain deductions and still remain eligible for the benefit – up from £196.
That means some people who previously earned just above the cut-off may now qualify for support without having to reduce their working hours.
The change follows a government decision to link the Carer’s Allowance earnings limit to 16 times the National Living Wage, meaning it should now rise in line with annual increases to the minimum pay floor.
More carers could now be eligible
Other support payments for carers will also increase from 6th April as part of the government’s annual uprating.
The Carer Element of Universal Credit will rise from £201.68 to £209.34 per month, while the Carer Addition for Pension Credit will increase from £46.40 to £48.15 per week.
Helen Walker, Chief Executive of Carers UK, welcomed the higher earnings threshold, saying it could make a real difference for carers trying to stay in work while supporting a loved one.
She said: “Because the threshold is rising, some carers who previously earned too much to qualify may find they are now eligible for support. We are encouraging all carers to check their entitlement so they don’t miss out on money they could now receive.”
However, she also warned that the wider picture remains deeply concerning. “Even with the recent increase, Carer’s Allowance remains the lowest benefit of its kind,” she said.
“Nearly two-thirds of Carer’s Allowance recipients live in poverty, and the vast majority think it falls short of meeting their financial needs.”
For more information about Carer’s Allowance and its eligibility criteria, visit https://www.carersuk.org/help-and-advice/financial-support/carers-allowance/.
Who can claim Carer’s Allowance?
You may be eligible if you:
- care for someone for at least 35 hours a week
- earn no more than £204 a week after deductions (from 6 April)
- are aged 16 or over
- are not in full-time education
- care for someone who receives a qualifying disability benefit
