Money Wellness

benefits

Published 20 Feb 2025

2 min read

Carer’s allowance claimants ‘must report changes in circumstances’

People claiming carer’s allowance have been told to make sure they’re claiming the right amount.

Carer’s allowance claimants ‘must report changes in circumstances’
James Glynn - Money Wellness

Written by: James Glynn

Senior financial content writer

Published: 20 February 2025

According to the National Audit Office, £3.7bn of carer’s allowance was paid out to over 900,000 people in 2023-24.

Figures also showed that 136,730 people had outstanding overpayment debt last year.

That’s 71% higher than in 2018/19.

Meanwhile, outstanding debt rose by £100m to more than £250m.

The government has now reminded claimants to let the Department for Work and Pensions (DWP) know of “any changes in their circumstances that could impact their award”, such as employment.

Andrew Western, a minister at the DWP, acknowledged that providing care can be a “demanding role”.

However, he said that when overpayments happen, the DWP has “a duty to the taxpayer to protect public funds and to ask for money to be paid back”.

“We remain committed to working with anyone who is struggling with their repayment terms and will always look to negotiate sustainable and affordable repayment plans,” Mr Western commented.

He added that the government “recognises and values the vital contribution made by carers” and is “determined” to ensure unpaid carers get the support they “need and deserve”.

For example, the earnings threshold for carer’s allowance will increase by £45 a week to £196 in April.

Mr Western described this as the “biggest ever cash increase” and said it would benefit more than 60,000 carers over the next five years.

Review into carer’s allowance overpayment underway

The government has already launched an independent review into carer’s allowance overpayments, which will look at issues including:

  • how overpayments happened
  • how to support those affected
  • how to prevent overpayments happening in the future

The review's findings are expected by summer 2025. 

Help and support for carers  

If you’re a carer, you might be eligible for financial support. 

Check out our guide on what help is available for carers or use our benefits calculator to find out what you can claim.  

You may also qualify for grants that you don’t have to repay.  

James Glynn - Money Wellness

Written by: James Glynn

Senior financial content writer

James has spent almost 20 years writing news articles, guides and features, with a strong focus on the legal and financial services sectors.

Published: 20 February 2025

The information in this post was correct at the time of publishing. Please check when it was written, as information can go out of date over time.

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James Glynn - Money Wellness

Written by: James Glynn

Senior financial content writer

Published: 20 February 2025

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