What's changing for Carer's Allowance
On 26 October 2026, ahead of the Budget, the Chancellor announced plans to end what the government calls the Carer's Allowance cliff edge:
- The problem: unpaid carers lose their entire allowance "simply for earning a penny over the Weekly Earnings Limit", which the government says is equivalent to 16 hours a week at the National Living Wage.
- The fix: instead, "only £1 of support will taper away for every additional £1 earned".
- When: the Budget on 28 October 2026 said the taper will be introduced during 2030–31, in England and Wales, after a new IT system is built to adjust payments automatically. The government expects it to help around 48,000 carers. Until then, the current cliff edge still applies.
Carers UK and Carers Trust both welcomed the move. Carers UK said many carers had given up or turned down part-time work because they couldn't risk losing all their allowance.
What the latest carers survey shows
The survey of adult carers in England for 2025 to 2026 (published by DHSC on 24 September 2026) covers unpaid carers aged 18 and over who support an adult known to their council. Among the findings:
- Health: around a quarter (25.7%) of carers said they had developed their own health conditions as a result of caring.
- Work: 19.5% were not in paid employment because of their caring responsibilities, unchanged from 2023 to 2024.
- Hours: over a third (34.7%) spent 100 hours or more a week caring.
- Being involved: 26.2% said they always felt involved or consulted in discussions about the support for the person they care for, while 31.4% weren't aware of any such discussions.
- Support: just over a quarter (25.6%) hadn't received any support or services from their council in the last 12 months.
The government's unpaid carers action plan, published in July 2026, is built around three themes: making sure carers are recognised, referred to the support available, and reached by it.
What this means for your service
- Your staff: some of your care workers will be unpaid carers at home too. From 2030–31 they should be able to take extra hours without losing all their Carer's Allowance. Until then the current limit still applies, so be careful when offering extra shifts to staff you know receive it.
- Families: many relatives who visit or support residents are unpaid carers. The survey shows many don't feel involved in discussions about the person they care for, which is a reminder to keep families informed and included where the person agrees.
- Signposting: you can point families to their council's carers' assessment and local carers' services.
This is general information, not benefits advice. Carers should check their own situation with GOV.UK or a carers' organisation.
Sources
- HM Treasury, Budget 2026 (28 Oct 2026): https://www.gov.uk/government/publications/budget-2026-document/budget-2026-html (checked 28 Oct 2026)
- HM Treasury, DWP and DBT, "Everyday fixes to make life easier for millions of Britons" (26 Oct 2026): https://www.gov.uk/government/news/everyday-fixes-to-make-life-easier-for-millions-of-britons (checked 28 Oct 2026)
- DHSC, Survey of adult carers in England 2025 to 2026: commentary (24 Sep 2026): https://www.gov.uk/government/statistics/survey-of-adult-carers-in-england-2025-to-2026-report/survey-of-adult-carers-in-england-2025-to-2026-commentary (checked 28 Oct 2026)
- DHSC, Unpaid carers action plan: recognise, refer, reach (14 Jul 2026): https://www.gov.uk/government/publications/unpaid-carers-action-plan-recognise-refer-reach (checked 28 Oct 2026)
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