Caring for a family member or loved one is a significant responsibility, especially for seniors. In recognition of this, the UK government provides financial support known as the Carer’s Allowance, offering much-needed relief to unpaid carers.
The latest rate set for 2025-2026 is up to £173 per week, making it essential for eligible seniors to understand this allowance and how to claim it.
What Is Carer’s Allowance?
Carer’s Allowance is a UK government benefit designed to support individuals who regularly spend significant time caring for someone with substantial care needs.
It is aimed at reducing the financial burden on carers who dedicate at least 35 hours a week to care activities, including personal care, household chores, medical appointments, or emotional support.
Latest Carer’s Allowance Rates
Effective from April 2025, the Carer’s Allowance rate has increased, reflecting the rising cost of living:
| Period | Weekly Rate | Four-weekly Rate | Annual Rate |
|---|---|---|---|
| 2024/2025 | £81.90 | £327.60 | £4,258.80 |
| 2025/2026 | £83.30 | £333.20 | £4,331.60 |
Though commonly referred to as the “£173 allowance,” this figure represents combined weekly support available through multiple related allowances, including supplementary benefits that carers may qualify for alongside Carer’s Allowance.
Updated Earnings Limit
To remain eligible, carers must meet specific earning thresholds. Previously capped at £151 per week, the earnings limit has now risen to £196 per week.
This increase allows carers greater flexibility in balancing caring responsibilities and part-time employment without losing entitlement to this crucial benefit.
Eligibility Requirements
To qualify for the Carer’s Allowance, individuals must:
- Be aged 16 or older and reside in England, Scotland, or Wales.
- Provide at least 35 hours per week of care.
- Not be enrolled in full-time education or studying more than 21 hours per week.
- Earn no more than £196 per week after allowable deductions such as taxes, National Insurance, and specific expenses.
The person being cared for must receive at least one of the following benefits:
- Attendance Allowance
- Personal Independence Payment (daily living component)
- Disability Living Allowance (middle or highest care rate)
- Armed Forces Independence Payment
- Constant Attendance Allowance (specific rates)
Interaction with Other Benefits
Receiving Carer’s Allowance can impact your other benefits:
- State Pension: If your State Pension is equal to or exceeds the weekly Carer’s Allowance (£83.30), you might not receive direct payments. However, you may still benefit from underlying entitlement.
- Pension Credit: Claiming Carer’s Allowance may increase your entitlement to Pension Credit.
- Other Benefits: Benefits such as Universal Credit or Income Support may also be impacted. It’s advisable to seek expert advice to understand the interactions fully.
How to Apply for Carer’s Allowance
Applying for Carer’s Allowance is straightforward and can be completed online or via a postal application. Detailed information about the carer and the care recipient is necessary, so gather all required documentation before starting the application to streamline the process.
The recent enhancements to Carer’s Allowance rates and earnings thresholds reflect the UK government’s commitment to supporting unpaid carers, especially senior caregivers.
Understanding eligibility requirements and how this allowance interacts with other benefits is essential for maximizing financial support. Consider seeking guidance from a benefits advisor to ensure optimal financial support.
FAQs
Can I still claim Carer’s Allowance if I receive a State Pension?
You may not receive direct Carer’s Allowance payments if your pension exceeds the weekly allowance amount. However, you might have an underlying entitlement that increases other benefits.
Does part-time employment affect eligibility for Carer’s Allowance?
Yes, but you can earn up to £196 weekly after allowable deductions without losing eligibility.
What counts towards the 35-hour weekly care requirement?
Qualifying activities include personal care, household tasks, assistance with medical appointments, and emotional support.