Skip to content
Search

Latest Stories

Carer's allowance penalties trap many in debt: report

As many as 600 carers are even facing criminal prosecution

care workers

New report exposed a system that has pushed vulnerable carers into financial and emotional turmoil. (Photo for representation: iStock)

HUNDREDS of thousands of unpaid carers have been hammered by harsh penalties for minor rule breaches, a damning national audit has revealed.

The National Audit Office (NAO) report exposed a system that has pushed vulnerable carers into financial and emotional turmoil.


According to the report, over 262,000 overpayments totalling £325 million were clawed back, with 600 carers even facing criminal prosecution.

The most shocking detail is the brutal "cliff-edge" earnings rule: earning just £1 over the £151 weekly threshold can trigger a repayment of £4,258.80 instead of just £52. Currently, 134,500 carers are struggling to repay over £251 million in debt.

Critically, the Department for Work and Pensions (DWP) appears to have deliberately understaffed its carer's allowance unit. Only half of electronic alerts identifying potential overpayments were investigated, with staff numbers cut by 14 per cent in two years.

Vivienne Groom, a former carer who was prosecuted and had a £16,000 inheritance seized, condemned the system. "They need to stop," she said. "I feel sorry for people who might lose their house or car."

Helen Walker from Carers UK described it as a "serious failure" causing immense distress, while Dominic Carter from Carers Trust called the system "broken".

Liberal Democrat leader Ed Davey called it "a scandal of the DWP's own making" that has caused "misery and distress on a staggering scale".

The average family carer – often already in poverty – repays nearly £1,000 in overpayments annually. Some cases have accrued over £20,000 in undetected breaches.

The DWP, however, maintains that legally, claimants must inform them of eligibility changes. However, ministers have now launched an independent review due next summer to investigate why overpayments spiralled and how to protect carers.

Social security minister Stephen Timms acknowledged the challenges, promising to boost the earnings threshold to help over 60,000 people and "make the system fairer".

More For You

Asian drug dealer known as 'starkcake' jailed for 18 years

Heemal Vaid (Photo: NCA)

Asian drug dealer known as 'starkcake' jailed for 18 years

A 49-year-old Asian drug dealer who masterminded the import and sale of cocaine and heroin worth more than £4 million has been jailed for 18 years, after National Crime Agency (NCA) investigators identified him from secret phone messages.

British Indian Heemal Vaid, of Cheam, used EncroChat – an encrypted phone service for criminals – to broker deals, unaware that in 2020, an international law enforcement team would crack EncroChat’s encryption.

Keep ReadingShow less
Metropolitan Police

The Met said it would not be making redundancies but would achieve savings by reducing recruitment and not replacing those who leave.

Getty Images/iStockphoto

Met Police to cut 1,700 jobs amid £260m budget shortfall

THE METROPOLITAN POLICE has announced plans to cut 1,700 officers, PCSOs, and staff due to a £260 million budget deficit.

The force will also scale back several services, including the removal of the Royal Parks Police team and officers stationed in schools.

Keep ReadingShow less
Donald Trump

Trump announced a series of tariff increases targeting various nations, including key US allies such as the UK and the European Union.

Getty Images

Trump’s tariffs hit global markets, Starmer warns of 'economic impact'

The UK and other global economies reacted on Thursday to US president Donald Trump's newly imposed tariffs, with prime minister Keir Starmer warning of an “economic impact” from the 10 per cent levy on British exports.

Trump announced a series of tariff increases targeting various nations, including key US allies such as the UK and the European Union.

Keep ReadingShow less
India told to prepare for deadly rise in temperatures

The country can expect more heatwave days this year

India told to prepare for deadly rise in temperatures

INDIA can expect hotter-thanusual temperatures this summer with more heatwave days taking a toll on lives and livelihoods, the weather office warned.

The country is no stranger to scorching summers, but years of scientific research has found climate change is causing heatwaves to become longer, more frequent and more intense.

Keep ReadingShow less
Tower Hamlets secures funding to save domestic abuse support jobs

The planned strike action was called off after the external funding was secured

Tower Hamlets secures funding to save domestic abuse support jobs

Ruby Gregory

REDUNDANCY proposals which would have seen job cuts made to a ‘crucial’ domestic abuse support service in Tower Hamlets have been called off.

Solace Women’s Aid, which planned to make cuts, confirmed last Friday (28) the redundancies were no longer going ahead, following a boost in external funding which followed a threat of strike action.

Keep ReadingShow less