Hi Mike
I am working with a client who gets PIP and income-related ESA.
Her son is now claiming Carer’s Allowance and is also on income-related ESA.
My client claimed Carer’s Allowance for her son until he lost his PIP.
Her son has now had his PIP reinstated.
They live together in a rented home and no-one else lives at the property.
My query is can they both claim Carer’s Allowance for each other?
Kind Regards
Tracy
Hiya Tracy,
If you are getting income-related ESA and then you make a claim for Carer’s Allowance you don’t gain the full value of the Carer’s Allowance; because iESA counts it as income.
What you gain is a Carer’s Premium of £37.70 in the iESA needs-level.
However, because you get the Carer’s Allowance, the person that you look after is excluded from getting a Severe Disability Premium of £67.30 in their iESA needs level.
So:
This mother and son could each claim Carer’s Allowance for looking after the other and iESA would say that every week they each need:
£74.70 Personal Allowance
£39.40 Support Component
£37.70 Carer’s Premium
£151.80
And this is what they would each get in a combined payment of Carer’s Allowance and iESA
But:
If neither claims Carer’s Allowance for looking after the other, iESA would say that every week they each need:
£74.70 Personal Allowance
£39.40 Support Component
£67.30 Severe Disability Premium
£181.40
So this is what they would each get from iESA
All told, each one of them ends up £29.60 per week better off by not having the other one claim as their carer.
This turns out to be worth £3,078.40 per year for the two of them.
And what’s more, this increase in iESA will be carried through to their Universal Credit claims when it comes time for them to be migrated to the new benefit
🙂
Mike