Carers Allowance Overpayments
Carers Allowance overpayments
Carers UK have published a new report on the Carer’s Allowance overpayment issue, which has affected many carers.
The earnings limit for Carer’s Allowance is £151 per week, and going over this limit by just a few pence means carers need to pay back 100% of their Carer’s Allowance for that week – £81.90 at 2024/25 rate.
Many carers haven’t realised they’ve been overpaid, and the impact can be devastating.
What must change
Carers UK’s new report outlines the issues faced and makes several strong recommendations to the Department of Work and Pensions, including:
- Sending alerts to carers when their earnings potentially breach the earnings limit
- Improving information sharing and processes within the DWP
- Improving the information available to carers and their interaction with DWP
- Raising the Carer’s Allowance earnings limit to 21 hours per week and pegging it to the National Living Wage
- Taking steps to remove the hard ‘cliff edge’ of the earnings limit and replacing this with a taper to earnings
- Writing off substantial overpayments where carers could have been notified sooner
- Conducting a full review of Carer’s Allowance level and its eligibility criteria
Have you been affected?
Carers UK still want to hear from carers who have had an overpayment of Carer’s Allowance, and you can share this anonymously if you wish:
Worried about overpayments?
If you’re concerned that you might have been or are being overpaid, get more advice and information from Carers Trust here. Or call our Helpline for advice on 030 040 1234.
Read the full report here: