As many as 65,000 low-income older carers in the UK are missing out on a free £2,400 top-up in their income, according to new figures from Age UK. These carers could be eligible for Pension Credit and the additional Carer’s Addition, but many are unaware of how to access this financial support. This has raised concerns about the need to increase awareness and simplify the system for older carers.
What Is Pension Credit and the Carer’s Addition?
Pension Credit is a benefit that tops up the income of older individuals who are on a low income. For individuals, the Pension Credit adds to their income to bring it up to £227.10 per week, while for couples, the amount is £346.60 per week.
The Carer’s Addition, also known as the carer top-up, is an extra payment that can be added to Pension Credit for those who are caring for someone with a disability or health condition. This top-up can be worth up to £2,412.80 per year, making a significant difference to the financial stability of unpaid carers.
However, according to recent estimates, 65,000 older carers are missing out on this support, potentially affecting their finances and quality of life.
Why Are So Many Missing Out?
A new survey conducted by Carers UK, supported by the abrdn Financial Fairness Trust, found that 75% of older carers were unaware that applying for Carer’s Allowance could increase their chances of qualifying for Pension Credit and receiving a higher amount. Many older carers do not know that claiming Carer’s Allowance is a key step to unlocking additional benefits like Pension Credit.
Carer’s Allowance is a payment made to those who care for a person with a disability or health issue for at least 35 hours a week. This benefit is a requirement for many older carers to be eligible for the additional financial support of Pension Credit.
Caroline Abrahams, the Charity Director at Age UK, expressed her concern, saying, “The extra money an unpaid older carer typically receives from successfully claiming Pension Credit makes a big difference to their finances and quality of life, so it is heartbreaking that so many are missing out because they are unaware of their potential entitlement.”
The Need for Awareness and Simplification
The report highlights the difficulty many older carers face when trying to navigate the complex benefits system. Despite being eligible for financial help, many are simply unaware of how to claim it or that they might qualify for both Pension Credit and the Carer’s Addition.
Vivienne Jackson, Programme Manager at abrdn Financial Fairness Trust, described the current system as being “more arcane than a cryptic crossword,” highlighting how confusing and difficult it is for older carers to navigate the process. She argued, “It’s not right that older carers, often run off of their feet at a time of life when they should have some space to rest, have a bewildering maze to navigate.”
Jackson further suggested that there is an opportunity to simplify the system and ensure that older carers and their families can easily access the support they deserve.
What Needs to Be Done?
Age UK and other advocacy organizations, including Carers UK, are calling on the government to take immediate action to increase public awareness about Pension Credit and encourage more carers to apply for the financial support they are entitled to. The government should work closely with these organizations to make sure older carers are informed and supported in claiming the benefits they deserve.
In the longer term, there is a push for the government to create a system that proactively identifies older people who are likely eligible for these benefits, instead of requiring individuals to go through the complex application process themselves.
How to Apply for Pension Credit and Carer’s Addition
For older carers who believe they may be entitled to Pension Credit and the Carer’s Addition, the first step is to apply for Carer’s Allowance through the Department for Work and Pensions (DWP). Once this is done, they will be able to apply for Pension Credit and receive any additional payments they may be eligible for.
If you are an older carer or know someone who might be affected, it is crucial to check whether you qualify for Pension Credit and the Carer’s Addition. The process may seem complicated, but there are organizations like Age UK and Carers UK that can offer guidance and support.
A Call for Action
With 65,000 older carers potentially missing out on £2,400 a year, it’s clear that there is an urgent need for increased awareness and a simpler, more accessible process for claiming benefits. These payments can make a huge difference in the lives of older carers, who often face significant financial and emotional challenges. By simplifying the system and raising awareness, we can ensure that all those entitled to these vital benefits are able to claim them and improve their financial security.
FAQs
What is the Carer’s Addition and how does it help older carers?
The Carer’s Addition is an extra payment added to Pension Credit for those who care for someone with a disability or health condition. This top-up can be worth up to £2,412.80 per year, significantly improving the financial stability of unpaid carers.
How can older carers apply for Pension Credit and the Carer’s Addition?
Older carers must first apply for **Carer’s Allowance**. Once they qualify, they can apply for **Pension Credit** and receive any additional payments, including the **Carer’s Addition**. Guidance is available from organizations like **Age UK** and **Carers UK**.
Why are many older carers missing out on the Carer’s Addition?
Many older carers are unaware that applying for **Carer’s Allowance** is a crucial step to qualify for **Pension Credit** and the **Carer’s Addition**. A survey found that 75% of older carers didn’t know this connection.
What is Pension Credit and how much can older carers receive?
Pension Credit is a benefit that tops up the income of older individuals on a low income. For individuals, it adds to their income to bring it up to £227.10 per week, and for couples, it provides £346.60 per week. The **Carer’s Addition** can increase this amount by up to £2,412.80 per year.
How can the system be improved for older carers seeking financial support?
Advocacy organizations like **Age UK** and **Carers UK** are calling for the government to raise awareness about **Pension Credit** and **Carer’s Addition**. They also suggest simplifying the application process to make it easier for older carers to access these benefits.
