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welfare rights
Untangling carer’s allowance

News that overpayments may be clawed back and fears of Then there are rules called the
prosecution highlight the complexity of carer’s allowance. ‘overlapping benefit’ rules, which mean
where the claimant is a carer but already
Charlie Callanan explains some complicated rules gets a benefit based on their national
insurance contributions (eg contributory
ESA), they cannot get carer’s allowance at
larm has been raised in the carer the same time. However, they may still get
community following reports that a carer premium in any means-tested
athe department for Work and benefits to which they are entitled.
Pensions (dWP) is looking to recover Carer premium is extra benefit that is
payments of carer’s allowance to which part of the assessment for income-related
some claimants were not entitled. ESA, income support, income-based
A report in The Guardian suggests that, jobseeker’s allowance and housing
following investigations by DWP, more benefit. The universal credit equivalent is
than 1,000 claimants could be prosecuted the ‘carer element’.
for benefit fraud while 10,000 carers To get the premium, claimants must get
could receive fines. In either situation, the or have an ‘underlying entitlement’ to
claimant is likely to be ordered to pay Chop chop: caring may involve physical help, carer’s allowance. Underlying entitlement
back any overpaid benefit. keeping an eye on someone to keep them safe means that a claimant qualifies for carer’s
One of the main reasons the or practical help such as cooking allowance but cannot receive it because
overpayments of carer’s allowance occur they get an overlapping benefit. It should
is that when a carer takes a paid job or include the daily living component of be noted that the claimant must still apply
their hours and earnings increase, they personal independence payment, the for carer’s allowance to get a letter
fall foul of the rule on earnings in this middle or higher rate of the care confirming underlying entitlement.
benefit. The rule is that a claimant cannot component of disability living
get carer’s allowance at all if their allowance, or attendance allowance
take-home earnings are more than £120 ● ●Care for a person for at least 35 hours “ Payment of carer’s
per week. If their earnings are £120 or a week allowance to a carer
less, they can get the full allowance. ● ●Not be in full-time education
Starting full-time study may also end ● ●Not earn over £120 a week, after can mean the benefits
entitlement to carer’s allowance. deductions for income tax, national of the person being cared
Carer’s allowance is not a means-tested insurance and half of the contributions
benefit so, unlike benefits such as towards an occupational or personal for can be reduced
income-related employment and support pension ”
allowance (ESA) or universal credit, an ● ●Satisfy UK presence and residence
assessment is not made of all the conditions. Carer’s credits are national insurance
claimant’s income and savings. Income The time spent caring may involve the credits that can help people to meet the
other than earnings over £120 and any carer physically helping the person, contribution conditions for certain
capital are disregarded. Because the rate keeping an eye on them to avoid them benefits, including the state pension.
of the benefit is so low – just £64.60 a getting into danger or giving them Carers can get a class 1 credit for each
week – it may be that some carers practical help such as cooking. week in which they get carer’s allowance.
mistakenly believe they don’t have to If a carer is studying, their course is A carer who does not qualify for carer’s
declare their earnings. likely to be considered full time if their allowance may still be able to get carer’s
university or college describe it as full credit if they are looking after a person for
missing out time or if they are required to study for 21 20 hours or more per week.
Of course, there may be many more hours or more a week. However, this can This summary attempts to make the
eligible carers who are missing out on be a grey area, so any carer in this rules on claims clearer. However, trying to
claiming carer’s allowance than those who position should seek advice. explain the conditions for claiming carer’s
have allegedly been overpaid benefit. a carer and claim carer’s allowance. So, allowance demonstrates just how complex
A person who has a disability can act as
Suzette/www.suzette.nu/Wikimedia Commons some means-tested benefits or the may be able to claim it for looking after to seek expert advice before making
Some people who qualify may also get
the rules are. To avoid overpayment of any
benefit, we need to reinforce the message
the carer premium that is available with
for example, both members of a couple
each other.
‘carer’s credit’ towards national insurance
claims, and when circumstances change. n
● Carers UK. What is Carer’s Allowance?
contributions.
The main qualifying rules and
www.carersuk.org/help-and-advice/
Caveats around claiming
financial-support/help-with-benefits/
conditions stipulate that, to get carer’s
Anyone thinking of claiming carer’s
carers-allowance
allowance should always get advice
allowance, a carer must:
●Be aged 16 or over
beforehand. This is because, if it is paid to
●
●Look after someone who gets a
Charlie Callanan is an adviser and writer
●
on welfare rights
qualifying disability benefit. These
cared for can be reduced.
www.cl-initiatives.co.uk a carer, the benefits of the person being Community Living Vol 32 No 2 | Winter 2018 7