This benefit is paid to carers who are looking after someone who gets either Attendance Allowance or Disability Living Allowance at the middle or higher rate of the care component.
The carer must be looking after the person for at least 35 hours per week (including weekends), although this can include time spent keeping an eye on the person.
Carer’s Allowance may also not be paid if the carer gets certain other benefits where the two benefits cannot be paid together and only the highest one is paid – this is known as the overlapping benefit rule for example, if the person qualifies for both retirement pension and carer’s allowance then only the highest can be paid. It is still important to apply for carer’s allowance if you meet the rules as you will qualify for the extra amount of carer’s premium to be added into entitlement for other benefits even if they cannot pay you the Carer’s Allowance because of the overlapping benefit rule.
Carers Allowance gives the carer a weekly National Insurance credit to protect your entitlement to other National Insurance benefits such as Retirement Pension – and the state second pension - or Incapacity Benefit.
It can lead to a higher rate of income-based benefits such as council tax benefit being paid if the carer is claiming these because of the inclusion of an extra carer’s amount in the benefit calculation.