Carer’s Allowance: Overpayments Review

Baroness Fraser of Craigmaddie Excerpts

Tuesday 18th November 2025 Lords Chamber

[Baroness Sherlock (Lab)]

I will say to my noble friend that one of the differences, as I began to explain to the noble Lord, Lord Young of Cookham, is that carer’s allowance is not a means-tested benefit. If someone is on a low income and is doing some caring, they can also apply for a means-tested benefit, such as universal credit or, if they are older, pension credit. Although they cannot usually get both of those benefits, if they do get one of those benefits, they can get an extra £2,400 a year in universal credit or pension credit to acknowledge that caring. Having said that, the Government are determined to make sure that this maintains its value and is increased by CPI every year, and new rates for 2026 will be announced in the next few weeks. The Government are spending a record £4.5 billion this year on supporting a million carers through carer’s allowance.

[Baroness Fraser of Craigmaddie (Con)]

My Lords, as the noble Lord, Lord Laming, reminded us, unpaid carers do a challenging, varied and extremely difficult job, but they do it invisibly. What are the Government doing to ensure that the visibility of unpaid carers is heightened, and that, whether they are in DWP or the health and care services, those providing complex support to this invisible and important population are seen and are supported?

[Baroness Sherlock (Lab)]

The noble Baroness raises a very important question; I am not surprised, given her charity work, that she is aware of this and the role of carers. Let me mention a couple of quick things. What DWP and other parts of government do is support those events which highlight them. For example, as I am sure she knows, Carers Week was back in June and Carers Rights Day is on Thursday, and the departments have been involved in those, trying to highlight the importance of this and engage with people. For example, tomorrow night Carers UK is holding a reception, and I know that my right honourable friend Sir Stephen Timms, who is a Minister in my department, and Minister Kate Dearden from DBT, are both going to that reception to mark it. The noble Baroness raises a really important point. Hopefully, even our having this conversation will help to raise awareness of that.