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Opinion

Benefits for unpaid carers and those they care for are intrinsically linked – Labour is failing both

1.2 million unpaid carers in the UK looking after some of the most vulnerable in our society live in poverty

25/06/2025. Hague, Netherlands. Prime Minister Keir Starmer. Picture by Simon Dawson / No 10 Downing Street

Recent proposals for welfare reform have caused untold stress and worry for thousands of unpaid carers. As the government’s stripped back bill continues to committee stage, it is essential that the implications for carers are considered further. 

Around 12,000 people in the UK become an unpaid carer every day, taking on caring responsibilities for someone who needs support due to illness, disability or age. Many feel disadvantaged, with these responsibilities impacting their own health, finances and employment opportunities. 

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It has been a relief for many to hear that changes to the eligibility criteria for personal independence payment (PIP) will be paused until a ministerial review involving disabled people is published. Moving forwards, the review must act quickly and listen to unpaid carers to ensure that nobody loses crucial entitlements. 

The current system means that benefits for unpaid carers and those they care for are intrinsically linked. To claim carer’s allowance, you must spend at least 35 hours caring for someone and they must receive a relevant disability benefit, such as the daily living component of PIP.  Before the government’s U-turn on PIP our analysis showed that families losing eligibility to both PIP and carer’s allowance would lose over £8,000 a year. It’s unimaginable to think of a situation where carers could be providing at least 35 hours of care per week making it extremely difficult to work as a result with no recognition or financial support. 

More than 600 people give up work a day to care, many find themselves in this difficult situation due to the stress of juggling work and care. The care unpaid carers provide is worth £184 billion a year to the UK economy. We need to see increased recognition for this, as well as better access to good social care and supportive employers to enable unpaid carers to stay in employment where they wish to do so. 

Advertising helps fund Big Issue’s mission to end poverty
Advertising helps fund Big Issue’s mission to end poverty

It is worth spelling out that carers are often providing substantial care, even when the person they care for is not scoring a four on any daily living activities. Many carers need to be on hand to supervise activities carried out by the person they care for, such as eating or taking medication. Carer’s allowance, paid at £83.30 per week, remains the lowest benefit of its kind but is still a crucial benefit providing financial support for those who face additional bills associated with their caring role.

Sadly 1.2 million unpaid carers in the UK looking after some of the most vulnerable in our society live in poverty. Sixty-two percent of people receiving carer’s allowance – half a million carers – live in poverty. Our research shows that for more than half (51%) of carers, their financial situation is having a negative impact on their mental health and wellbeing. 

Carers UK remains concerned over cuts which have been voted through – new claimants for the universal credit health element who don’t meet the severe conditions criteria will receive lower payments leaving those with disabilities and their families substantially worse off. 

Unpaid carers are already under huge pressure; an increasing number say they are finding it hard to take a break from caring. Carers tell us that the condition of the person they care would worsen if they receive less financial support. Some say the anxiety the recent Bill has caused has already made caring roles harder. 

Carers UK will be working to ensure that carers’ future benefits are protected. We would like to see a separate stream of involvement with unpaid carers to consider the impact on them and their families of tightening PIP eligibility. We also want a full review of carer’s allowance. Any next steps should improve carers’ benefits to combat carer poverty, rather than cut them. It’s crucial that the upcoming review gets things right.

Emily Holzhausen is director of policy and public affairs at Carers UK.

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