The Carers Allowance 2024/25 weekly rate was £81.90. This government benefit was available to individuals providing at least 35 hours of unpaid care weekly.
While this period (6 April 2024 to 5 April 2025) has concluded, you can still submit backdated claims if you met the strict eligibility criteria, including the £151 net weekly earnings threshold, during that specific timeframe.
What Was the Carers Allowance 2024/25 Status?
The 2024/25 financial year is a closed, historical period used to reconcile past benefit claims, prepare retrospective tax returns, or correct DWP records. Because it is no longer the current tax year, searching for this data is specifically for those managing backdated applications or auditing previous financial assessments.
- Financial Timeline: The period ran strictly from 6 April 2024 to 5 April 2025.
- Purpose of Review: Understanding this status is vital if you are currently submitting a backdated claim for care provided during those dates or if you are dealing with a DWP overpayment investigation.
| Feature | 2024/25 Tax Year | 2026/27 Tax Year |
| Weekly Rate | £81.90 | £86.45 |
| Earnings Threshold | £151.00 (Net) | £204.00 (Net) |
| Status | Historical/Archival | Current |
How does the Carer’s Allowance work?
Carer’s Allowance is a non-contributory, supplementary benefit designed to provide financial support to those who sacrifice paid employment hours to provide regular, substantial care for a disabled person. It is not a salary for your services, but a state-provided allowance.
- Core Purpose: It acknowledges the 35+ hours of unpaid care you provide by offering a weekly payment and associated National Insurance credits.
- The Underlying Entitlement: If you receive other benefits (like the State Pension) that equal or exceed the allowance amount, you may not receive a weekly payment, but you retain an underlying entitlement, which can trigger other premium payments in benefits like Pension Credit or Universal Credit, or specific tax-exempt earnings like your dividend allowance.
Who Was Eligible for Carers Allowance 2024/25?
Eligibility in 2024/25 required you to be 16 or older, provide at least 35 hours of weekly unpaid care to a person receiving a qualifying disability benefit, and not be in full-time education (21+ hours per week) or earning above the net limit.
- Age Requirement: The applicant had to be 16 years or older.
- Care Duration: A minimum of 35 hours of unpaid care per week was mandatory.
- Residency: The applicant must have resided in England, Scotland, or Wales for at least two of the previous three years.
- Educational Status: The applicant could not be in full-time education (defined as 21 hours or more per week).
- Qualifying Benefit: The individual receiving care must have received a recognised disability benefit, such as the daily living component of Personal Independence Payment (PIP), the middle or highest rate of Disability Living Allowance (DLA), or Attendance Allowance.
Earnings Limits and the Cliff-Edge Problem
The 2024/25 earnings threshold was strictly capped at £151 per week (net). If you earned even £1 over this limit, you lost your entire entitlement for that week, with no gradual reduction—a mechanism known as the cliff-edge rule.
How to Calculate Your Net Weekly Income (2024/25)?
- Identify your total gross weekly earnings.
- Deduct any applicable Income Tax and National Insurance contributions.
- Subtract 50% of any payments made toward a personal or occupational pension.
- If you were self-employed, deduct any qualifying business-related expenses.
- Compare this final figure against the £151 weekly limit to ensure you remained eligible throughout the period.
Is Carer’s Allowance Taxable?
Yes, Carer’s Allowance is a taxable benefit. It forms part of your total taxable income; however, you will only pay tax on it if your combined income (including pensions and other earnings) exceeds your annual personal tax-free allowance.
- Tax Reporting: Because it is taxable, you must inform HM Revenue and Customs (HMRC) that you are receiving this benefit so it can be factored into your tax code if necessary.
Does It Affect Other Benefits?
Receiving Carer’s Allowance can impact other benefits. While it may reduce some means-tested payments, it often acts as a passport to receive additional premiums (the carer premium) in benefits like Universal Credit, Pension Credit, and Housing Benefit.
- Impact on the Person You Care For: When you claim Carer’s Allowance, the person you care for may stop receiving the severe disability premium within their own benefit payments. You should verify this with their local council or the DWP before applying.
- Benefit Coordination: If you receive Universal Credit, your payment will usually be reduced by the amount of your Carer’s Allowance, but you will often be awarded an additional Carer element to compensate.
How Does Carer’s Allowance Get Paid?
Carer’s Allowance is paid directly into your nominated bank or building society account. You can choose to receive your payments either weekly or every four weeks.
- Payment Schedule: Payments are issued in arrears, covering the previous week or a four-week block.
- Method: If you are already receiving the State Pension, your Carer’s Allowance may be adjusted or offset against your pension payment.
How to Apply for Carers Allowance 2024/25 Online?
You can apply for Carer’s Allowance via the official GOV.UK portal. To apply, you will need your National Insurance number, employment details (or latest payslip), and the National Insurance number and address of the person you care for.
- Preparation: Gather your bank details and any records of your income or pension contributions from the 2024/25 period.
- Access Portal: Visit the official GOV.UK Carer’s Allowance page.
- Submit Claim: Follow the online application steps. If you are applying for a backdated period, ensure you clearly state the start date of your care.
- Confirmation: Once submitted, the DWP will review your claim and contact you if they require further evidence, such as proof of the care recipient’s disability benefits.
Summary
Taking the time to review your 2024/25 financial records is a smart move for any carer, as it ensures your benefits and broader tax position, including any capital gains allowance, are fully and accurately reconciled
If you suspect an error in your past entitlement or wish to verify your eligibility for the current 2026/27 rates, utilise the official GOV.UK benefits calculator.
FAQ about Carers Allowance 2024/25
Is it still possible to claim Carer’s Allowance for the 2024/25 period?
Yes, you can submit a backdated claim for up to three months from the date you apply, provided you met all eligibility criteria throughout that historical period.
Should Carer’s Allowance be considered a wage?
No, it is a non-contributory benefit. It is intended to help cover the costs of providing care and does not constitute a salary or payment for employment.
How are overpayments from the 2024/25 year handled?
If your earnings exceeded the £151 threshold, you may have been overpaid. The DWP has the authority to recover these funds. You should contact the Carer’s Allowance Unit immediately to clarify your records.
Does receiving the State Pension affect my entitlement?
You cannot receive both the full State Pension and Carer’s Allowance. If your pension is higher, you keep the pension but have an underlying entitlement to the allowance.
Can you get Carer’s Allowance for Alzheimer’s?
Yes, if the person with Alzheimer’s or dementia receives a qualifying disability benefit like Attendance Allowance or PIP, and you provide 35+ hours of care, you are eligible to apply.
What is the difference between Carer’s Allowance and Carer’s Credit?
Carer’s Allowance is a weekly payment. Carer’s Credit is not a payment but a National Insurance credit that protects your State Pension record if you are caring for at least 20 hours a week.
Do I get an extra payment if I’m on other benefits?
If you receive benefits like Universal Credit, you may be entitled to an additional carer element. This is a separate, means-tested addition to your primary benefit payment.