Caring for a loved one is a selfless act, often done without expecting anything in return. But the emotional and physical demands of being a carer are undeniable. The UK government recognises this dedication, and from April 2025, a £333 monthly Carer’s Allowance will be rolled out to support unpaid carers across England, Scotland, and Wales. Confirmed by the Department for Work and Pensions (DWP), this increase is a meaningful step toward acknowledging the vital work carers do every day.
Whether you’re a family member looking after a relative or helping someone with long-term health needs, this financial support can ease some of the pressure. This guide breaks down who’s eligible, how much you can get, what the earnings limits are, and how to apply easily.
Quick Summary: 2025 Carer’s Allowance Changes
| Feature | Details |
|---|---|
| Monthly Payment | £333.20 (approx.) |
| Weekly Payment | £83.30 (up from £81.90) |
| Earnings Threshold | £196/week after tax and expenses |
| Care Requirement | Minimum of 35 hours/week |
| Eligibility Age | 16 years and over |
| Applies To | England, Scotland, Wales |
| Official Website | gov.uk/carers-allowance |
What Is Carer’s Allowance?
Carer’s Allowance is a weekly benefit provided to individuals who spend a significant amount of time caring for someone with a disability or health condition. If you dedicate at least 35 hours a week to looking after someone who receives certain disability benefits, you may qualify.
This support helps compensate carers who might have reduced work hours, left their jobs, or incurred personal expenses due to caregiving. It’s more than a payment—it’s a recognition of your efforts.
From April 7, 2025, the weekly rate will increase to £83.30, which equates to £333.20 monthly or £4,331.60 annually.
Who Can Claim Carer’s Allowance in 2025?
To apply for Carer’s Allowance, you need to meet specific conditions set by the government.
General Eligibility Requirements:
- Must be aged 16 or over
- Provide at least 35 hours of care per week
- Live in the UK or abroad while serving in the Armed Forces
- Not be in full-time education (over 21 hours per week)
- Earn no more than £196 a week after tax, National Insurance, and certain expenses
The Person You Care For Must Receive:
| Qualifying Benefit |
|---|
| Personal Independence Payment (PIP) – Daily living component |
| Disability Living Allowance (DLA) – Middle or highest care rate |
| Attendance Allowance |
| Armed Forces Independence Payment |
| Constant Attendance Allowance |
Only one person can claim Carer’s Allowance for each person being cared for, even if multiple people are providing support.
How Much Will You Get in 2025?
The new payment reflects rising living costs, helping carers manage essentials like food, travel, or utility bills.
| Frequency | Amount |
|---|---|
| Weekly | £83.30 |
| Monthly (avg) | £333.20 |
| Yearly | £4,331.60 |
Payments are typically made every four weeks, though weekly payments may be available for those in special circumstances.
Note: Carer’s Allowance is considered taxable income, so if your total income is above the Personal Allowance, you may have to pay income tax.
Understanding the 2025 Earnings Limit
To qualify, your weekly earnings after deductions must not exceed £196. This limit allows part-time workers and self-employed carers to still receive support.
What Counts as Earnings:
- Wages (after tax and National Insurance)
- Profits from self-employment
- Some pension income
What You Can Deduct:
- 50% of your pension contributions
- Certain expenses for childcare or care of disabled dependents while you’re working
Tip: Keep detailed records and consult a benefits adviser if you’re close to the earnings limit.
How to Apply for Carer’s Allowance (Step-by-Step)
Applying is straightforward if you’re prepared with the right information.
Step-by-Step Process:
- Visit: gov.uk/carers-allowance
- Gather necessary documents:
- Your National Insurance number
- Recent payslips or profit/loss records
- Bank account details
- Information about the person you care for (including their benefits)
- Complete the online application, or request a paper form.
- Submit and wait for up to 3 weeks for processing.
Successful claims may be backdated by up to 3 months.
Top Tips for a Successful Claim
- Track your weekly care hours to prove your eligibility.
- Keep the DWP updated on any changes to the cared-for person’s benefits.
- Report any changes to your income, job, or education promptly.
- If eligible, you’ll also receive National Insurance credits, which contribute towards your State Pension.
Does Carer’s Allowance Affect Other Benefits?
Yes, Carer’s Allowance can interact with or impact other benefits you or your household receive.
How It Affects Other Benefits
| Benefit | Impact |
|---|---|
| Universal Credit | May entitle you to an additional Carer Element |
| Income Support | Could be reduced slightly, but overall you may still benefit |
| Council Tax | Some councils offer discounts to carers – always check with your local authority |
FAQs
What happens if my earnings go over the limit?
You’ll likely lose eligibility. It’s essential to report changes immediately to avoid overpayments.
Can I study and claim Carer’s Allowance?
Only if your course is less than 21 hours of supervised study per week.
Can I claim if I’m self-employed?
Yes, as long as your weekly net earnings are under £196 after allowable deductions.
Will Carer’s Allowance affect my pension?
You’ll get National Insurance credits, which can help build your State Pension.
Can two people claim Carer’s Allowance for the same person?
Can two people claim Carer’s Allowance for the same person?