Review of Carer’s Allowance Overpayments 2025-12-08
2025-12-08
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Questions & Answers
Q1
Direct Answer
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Context
Over the last decade, around 185,000 unpaid family carers have been pursued by the Department for Work and Pensions to return overpayments in their Carer’s Allowance. Many working carers faced bills running into thousands of pounds through no fault of their own.
I am concerned about the steps being taken to implement the recommendations of the review of carer’s allowance overpayments, published on 25 November 2025. Around 185,000 unpaid family carers have been pursued by DWP to return overpayments in their Carer’s Allowance through no fault of their own. Many working carers faced bills running into thousands of pounds. Does the Minister share my hope that trust might now be rebuilt between the state and the near 6 million unpaid family carers?
My hon. Friend is a great campaigner for carers on this issue and others. She is absolutely right: this is a very serious problem that was ignored for 10 years, despite there being quite a lot of publicity about it. I hope, as she says, that trust will now be rebuilt as we fix these problems in the coming months.
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Q2
Direct Answer
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Cumbria has a higher number of unpaid carers due to the older population and rural isolation, exacerbated by seasonal and variable work. Carers need flexibility without fear of losing support.
Cumbria has a much higher than average number of unpaid carers largely due to its older demographic and rural isolation issues, compounded by seasonal and variable work patterns. What measures is the Minister taking to ensure that carers can take flexible seasonal work without fear of losing all their support?
The hon. Gentleman will know that the carer’s allowance has an earnings threshold, which we have increased very significantly—the biggest increase in the earnings threshold that there has ever been. We are also looking, in the longer term, at introducing a taper to carer’s allowance, instead of the cliff-edge earnings threshold that is still there at the moment. That will not be a quick fix, but once it is in place, I think it will help with the concern he raises.
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Q3
Partial Answer
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The Sayce review findings have been accepted. The issue is ensuring that carers are not pursued for genuine overpayments and seeking apologies.
The Liberal Democrats welcome the fact that the Government have accepted the findings of the Sayce review into carer’s allowance overpayments, but what assurances can the Minister give that the Government will stop hounding carers about overpayments? Will the Government also apologise?
I am very sorry about what happened to many carers. For example, only about half of the alerts that came into the Department from HMRC were checked, so overpayments that the Department had been notified of carried on for months and months. Of course, genuine overpayments do still need recovery and that work will continue. If people run into difficulties, it is always worth talking to the DWP debt management service.
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Assessment & feedback
Apology
I Am Very Sorry
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