MPs urge more financial help for unpaid carers » Central government » 24dash.com

The benefits system for unpaid carers is outdated and the Government should provide extra financial help to support them, MPs said today.

The Commons Work and Pensions Select Committee said people who care for relatives and friends saved the taxpayer an estimated £87 billion every year.

Their support was of "critical importance" to the Government and they should receive more assistance, the committee said.

Its latest report, Valuing and Supporting Carers, recommends income replacement for those who have to work part-time or are unable to work because of their commitments, and compensation for the extra costs incurred from providing "intensive" caring roles.

The MPs say they are "disappointed" the Government had not directly addressed financial help for carers in its Carers Strategy and that the group were only identified as a long-term priority from 2011.

Carers struggled to remain in work because of a lack of affordable, reliable and flexible care services and they often suffered "opportunity penalties", finding their vocational skills became rusty and out of date.

The committee's report said: "We believe that the current system of benefits for carers is outdated and we recommend the introduction of two distinctive 'tiers' of support for carers, offering income replacement support for carers unable to work, or working only part-time, and compensation for the additional costs of caring for all carers in intensive caring roles."

They go on: "We believe that the Department for Work and Pensions should support adults who become carers during their working lives to combine work and care and enable those who wish to return to paid work when caring ends or changes to do so."

Labour MP Terry Rooney, who chairs the committee, said: "Caring matters deeply to individuals, families and society in general. Sustaining the ability of carers to provide the care and support they give to others is of critical importance.

He added: "DWP needs to provide adequate financial support for those who provide care when of working age, either by compensating them for the extra costs of caring, or, if they need to give up work to care, through adequate income replacement and pension protection mechanisms."

Citizens Advice welfare policy officer Vicky Pearlman, who gave evidence to the committee, said: "We welcome the committee's recognition that the current system of benefits for carers is outdated and needs to be radically overhauled.

"The current system is enormously complicated, and even DWP staff struggle to correctly identify, and clearly explain, the benefits that carers and their families are entitled to."

She added: "It is crucial that the Government takes action to boost carers' incomes as a matter of urgency.

"If the Government is serious about reaching an 80% employment rate and empowering people to work, it needs to look seriously at how it can remove the barriers that make it very difficult for carers, especially those on means-tested benefits, to engage in the labour market."

Anne McGuire, Minister for Disabled People, said: "We appreciate the valuable contribution carers make to their families, friends, neighbours and communities. That's why we launched the Carers Strategy earlier this year.

"The strategy is backed up by an extra £255 million to support carers. This includes £150 million over two years so that carers can take short breaks, over £6 million to support young carers and up to £38 million to help them to enter or re-enter the job market.

"We are working with employers to ensure that carers can have a better balance between their work and caring responsibilities. The Government is committed to reviewing the care and support system as part of the longer term Welfare Reform programme.

"We welcome this report, which is a valuable contribution to the debate. We will study the recommendations and respond to them in due course."

Campaign groups welcomed the report and challenged the Government to improve the package available to carers.

Imelda Redmond, chief executive of Carers UK, said: "This cross-party report, informed by expert evidence, backs up what carers have been telling us.

"We argued for improvements to benefits as part of the Government's Carers Strategy and were bitterly disappointed when none were included.

"As well as being insultingly low at just £50.55 per week, Carer's Allowance does not recognise carers' individual circumstances and discourages them from combining caring with paid work.

"The two-tier benefit recommended by the committee would be a major improvement to the current system. Carers need a separate benefit which recognises that they are not unemployed but are making an important contribution to society.

"Government has promised a review of benefits but the message from carers is clear: we can't wait. Many carers are living in poverty and rising food and fuel prices are hitting them hard.

"Their unpaid contribution to society is worth £87 billion each year, yet Carer's Allowance is just £50.55 per week. Carers deserve better and need change now."

Held the Aged spokesman Paul Cann said: "The committee's excellent report lays bare the extent to which carers struggle to access the support they need while carrying out one of the most valuable jobs in our society.

"Carers save our health and social care systems billions of pounds and they deserve a better deal in return.

"As the committee acknowledges, there is a growing funding gap in our care system, and the Government must not shy away from filling it."

Stephen Burke, chief executive of Counsel & Care, added: "Too many carers have to give up work because of their caring responsibilities.

"We are delighted that the committee has recognised the potential of care vouchers and we look forward to working with the Government and the DWP to implement the committee's recommendation."

Graeme Betts and Caroline Marsh, from the Association of Directors of Adult Social Services (ADASS), said: "The proposals for a two-tier system of benefits, reflecting the need for a flexible system that suits working carers as well as those unable to work because they are dealing with intense levels of need, is one that is very close to users' and carers' hearts, our hearts, and the hearts of many hundreds of benefits advice colleagues all over the country.

"At the very least, the report's conclusions and recommendations should be at the forefront of the current thinking that's going into the Green Papers on both welfare reform and on social care funding for adult services."

Appearing on GMTV this morning, Ms McGuire said it was important that the needs of carers were recognised as well as the needs of the people they were caring for.

She said this may be more about respite than finance.

"We've put additional resources, some £250 million additional, into short breaks for carers to ensure they get the respite needed."

Commenting on the carer's allowance of £50 for a 30-hour week she said: "The carer's allowance was established as a kind of thank you to carers some 30 years ago and we have recognised that it needs to be looked at.

"We need to look at it in terms of welfare contents for wider benefits.

"We've seen improvement in the support we give to carers.

"For some carers it's about how they get support into a job, how they keep contact with the labour market - we have revamped some of our Jobcentre Plus activity to ensure that carers are now part of our mainstream delivery for support - and we are working with local authorities.

"It's a range of things that need to be done to support carers."