UK budget scraps harsh carer allowance cliff-edge penalties

Unpaid carers will keep their allowance when earning over the limit under a new budget taper system.

Unpaid carers will no longer face harsh financial penalties for earning slightly over the weekly limit. Chancellor John Healey is replacing the controversial rule with a digital taper system in the upcoming budget. The reform aims to remove a major administrative fear for people providing unpaid care across the country.

• The changeA new digital taper system replaces the strict earnings limit.
• The backgroundPrevious rules stripped away the entire allowance when earnings crossed a single threshold.
• The timingThe announcement arrives as part of an everyday fixes package ahead of the budget.