Question to the Department for Work and Pensions:

To ask the Secretary of State for Work and Pensions, whether he has made an assessment of the potential merits of providing a Cost of Living Payment to unpaid carers.

The Government recognises and values the vital contribution made by carers every day in providing significant care and continuity of support to family and friends, including pensioners and those with disabilities.

Depending on personal circumstances, carers may be eligible for means-tested benefits, including Universal Credit and Pension Credit. Means-tested benefits can be paid to carers at a higher rate than those without caring responsibilities through the Carer Element in Universal Credit and the additional amounts for carers in other benefits respectively.

We would encourage anyone who is providing unpaid care, and who is not already in receipt of a means-tested benefit, to check on GOV.UK to confirm whether there are other benefits they may be entitled to. Advice can also be sought from organisations such as Carers UK and Citizens Advice. Means-tested benefits can provide extra weekly income and trigger extra support with the cost of living.

Nearly 60% of carers on low incomes, who are of working age and on Carer’s Allowance, claim a means-tested benefit, through which they may be entitled to receive up to £650 in Cost of Living Payments in 2022/23. These payments are targeted at low income households in receipt of an eligible means-tested benefit, including pensioners who are in receipt of Pension Credit.

Six million people in receipt of an eligible disability benefit should have received the £150 Disability Cost of Living Payment, and eight million pensioner households are receiving a £300 Pensioner Cost of Living Payment as a top-up to their Winter Fuel Payment.

All Carer’s Allowance recipients in England who pay Council Tax in bands A to D should have received a £150 rebate.

The Secretary of State announced on 17 November that State Pensions and benefits will be up-rated from April 2023 by 10.1%, in line with the increase in the Consumer Prices Index in the year to September 2022.

To ensure stability and certainty for households, in the Autumn Statement, the Government announced £26 billion in cost of living support for 2023/24. This includes Cost of Living Payments for the most vulnerable households, an additional £1 billion to help with the cost of household essentials next year and the amended Energy Price Guarantee, which will save the average UK household £500 in 2023-24.

For those who require extra support, the Government is providing an additional £1 billion of funding, including Barnett impact, to enable the extension of the Household Support Fund in England in the next financial year. This is on top of what we have already provided since October 2021, bringing total funding to £2.5 billion. In England, this will be delivered through an extension to the Household Support Fund, backed by £842 million, running from 1 April 2023 to 31 March 2024, which local authorities use to help households with the cost of essentials. It will be for the devolved administrations to decide how to allocate their additional Barnett funding.