Chancellor Rachel Reeves announced during the Autumn Budget that the Carer’s Allowance weekly earnings limit will increase to the equivalent of 16 hours at the National Living Wage from next April. The rule change will enable people providing unpaid care to earn over £10,000 a year without seeing payments reduced by the Department for Work and Pensions for being over the threshold.
The Chancellor nodded to the Work and Pensions Secretary Liz Kendall’s review of overpayments to Carer’s Allowance claimants, saying: “I am also concerned about the cliff-edge in the current system and the issue of overpayments.” What the Budget means for you The policy changes are expected to be adopted by the Scottish Government for people on Carer Support Payment to prevent a two-tier benefits system.
Sir Stephen said: “The work of unpaid carers is absolutely vital and often heroic. We are determined to give unpaid carers the support they need. We are looking at the moment at options on tackling the problem with overpayments, including the possible introduction of a text alert service.”