What Is Carer’s Allowance? A Guide for Families Supporting Loved Ones at Home

Caring for a loved one is a role many people take on without a second thought, driven by love and a sense of duty. If you spend a significant part of your week supporting a family member or friend with an illness or disability, you may be eligible for financial help. The main government benefit for this is the carer's allowance, a payment designed to provide some support for the vital work you do.

Understanding the world of state benefits can feel daunting, but you don't have to navigate it alone. This guide will break down what carer's allowance is, who can claim it, and how it works. We'll provide clear information about certain care funding options to help you understand if you qualify and how this support can fit into your family's wider care plan, helping you make the best decisions for both you and your loved one.

What is a carer’s allowance?

Carer's allowance is the main carer's benefit in England, Wales and Northern Ireland. It's a regular payment to help people who look after someone with substantial caring needs. You don't have to be related to or live with the person you care for to be eligible. The core idea behind this allowance for carers is to provide a measure of financial support to those who dedicate a significant amount of time to helping someone else.

To qualify, you must spend at least 35 hours a week providing care. This care can cover a wide range of tasks, from helping with personal care and meals to taking them to appointments and managing their household. It’s important to note that this is a taxable benefit, which means it counts towards your total taxable income for the year, and you may have to pay income tax on it if your total income exceeds your personal allowance.

For those living in Scotland, a new benefit called Carer Support Payment has replaced Carer's Allowance for new applications. This guide focuses on the rules for England, Wales, and Northern Ireland, but the principles are very similar.

How much is carer's allowance?

Knowing how much carer's allowance you could receive is a key part of planning. The full rate for carer allowance is currently £83.30 per week (for the 2025/26 tax year). This amount is usually paid weekly in advance or every four weeks, directly into your bank account.

There are a few important rules about the payment amount:

• One claim per cared-for person: If you and someone else share the care for the same person, only one of you can claim Carer's Allowance.
• One claim per carer: You won’t be paid extra if you care for more than one person. The amount remains the same.

Your entitlement to the carer's benefit can also be affected by other benefits you receive, particularly the State Pension.

• If you receive a State Pension: You cannot be paid both your full State Pension and Carer's Allowance at the same time, as they are considered 'overlapping' state benefits. If your State Pension is more than £83.30 a week, you won't receive a payment for Carer's Allowance. However, you may still have an underlying entitlement to it. This is important because it can increase the amount you receive from any means-tested benefits like Pension Credit or Housing Benefit.
• If you receive Universal Credit: If you're eligible for carer's allowance, you may also qualify for an extra amount in your Universal Credit payment, known as the 'carer element' or carer premium. This increases your overall entitlement to reflect your caring responsibilities. It’s worth using a benefits calculator or speaking to an adviser to see how a claim might affect your total income.

Who can claim carer’s allowance?

To get carer's allowance, both you and the person you care for must meet specific criteria. The rules are designed to ensure the support goes to those with significant caring roles. Many people are surprised to find they are eligible, so it's always worth checking.

You could be eligible for carer's allowance if you meet all the following conditions:

• Caring Hours: You spend at least 35 hours a week caring for someone. This is a strict rule, and your week of caring is assessed from Sunday to Saturday.
• Age: You are 16 or over.
• Education: You are not in full-time education (which is generally defined as 21 hours or more of supervised study per week).
• Earnings: Your earnings after tax, National Insurance, and certain expenses are £196 a week or less. This includes income from self-employment.
• Residency: You meet certain UK residency and immigration conditions. For most people, this means having been in England, Scotland, or Wales for at least two of the last three years. If you’re from the EU, you might need status under the EU settlement scheme.

The person you care for must also be receiving a qualifying benefit. These are specific disability benefits that show they have a significant level of need. The list of following benefits includes:

• The daily living component of Personal Independence Payment (PIP) at any rate.
• The middle or highest rate of the care component of Disability Living Allowance (DLA).
• Attendance Allowance at any rate.
• Armed Forces Independence Payment.
• Constant Attendance Allowance.

It's important to understand that claiming carer's allowance can sometimes affect the benefits of the person you support. Suppose they receive a severe disability premium as part of their Income Support, income-related employment and support allowance, income-based jobseeker's allowance, or Housing Benefit. In that case, this premium will stop if you are paid carer's allowance.

This could reduce their overall income, so it's vital to seek advice from a service like Citizens Advice before you make a claim. This will help you understand the full financial picture for both you and the person you care for.

Finally, receiving Carer's Allowance helps protect your future entitlement to the State Pension. For each week you receive the benefit before you reach state pension age, you will automatically get Class 1 National Insurance contributions credited to your National Insurance record. If you are not eligible for the allowance itself, you may still be able to claim Carer's Credit, which provides Class 3 credits to protect your pension.

How to apply for a carer's allowance?

Once you've checked your eligibility, the next step is to claim carer's allowance. The process is straightforward, and you can apply either online or by post. The department that manages applications is called the Carer's Allowance Unit.

Here’s how you can make a claim for carer's allowance:

1. Gather Your Information: Before you start, you'll need some details to hand. This includes your National Insurance number and bank details, as well as the date of birth and National Insurance number of the person you care for. You'll also need to know which qualifying benefit they receive.
2. Complete the Claim Form: The easiest way to apply is online via the GOV.UK website. Alternatively, you can call the Carer's Allowance Unit helpline to request a paper claim form (form DS700, or DS700(SP) if you are over state pension age).
3. Submit Your Application: Follow the instructions to submit your claim. You can backdate your claim by up to three months if you were eligible during that time.
4. Receive a Decision: After your claim is processed, you will receive a letter telling you whether you've been awarded the benefit and from what date.

Reporting changes and challenging decisions

Life is not static, and it's crucial to report any changes in your situation to the Carer's Allowance Unit. If your circumstances change—for example, you stop caring for 35 hours a week, your earnings go up, or the person you care for goes into hospital—you must let them know immediately. Failing to report a change could lead to an overpayment that you have to pay back, and in some cases, you could even face a civil penalty.

If your application is turned down and you disagree with the decision, you have the right to challenge it. The first step is to ask for a mandatory reconsideration, where the DWP will look at their decision again. If you are still unhappy with the outcome, you can then launch an appeal with an independent tribunal. Organisations like your local council's welfare rights team or Citizens Advice can offer support with this process.

Conclusion

Understanding and applying for Carer's Allowance is a practical step you can take to gain some financial recognition for your caring role. This support allowance can provide a little breathing room, acknowledging the huge contribution you make to your loved one’s wellbeing every single day. We hope this guide has made the process clearer and given you the confidence to check if you are entitled to this important support.

While the allowance for carers is a welcome help, we know that caring for a loved one can still be physically and emotionally demanding. The support from a professional carers service can work alongside your family's efforts and any state benefits you receive. At Tiggo Care, our carers can provide person-centred home care services, from helping with domestic tasks to escorting your loved one to appointments, allowing you to focus on what matters most.