[holding answer 15 January 2007]: The level of carer’s allowance is increased in April each year in line with the annual movement in prices as measured by the retail price index, and we have no plans to change these arrangements.
Unlike incapacity benefit and jobseeker’s allowance (contributions-based), entitlement to carer’s allowance does not depend upon the payment of national insurance contributions; hence, the level of carer’s allowance has always been less than other income maintenance (contributions-based) benefits such as incapacity benefit and jobseeker’s allowance.
Income support and income-based jobseeker’s allowance are available to carers in lower-income households. They are not payable at standard rates, but are assessed on the basis of an individual’s personal circumstances. Carers entitled to carer’s allowance have the carer premium of £26.35 a week included in the assessment of these benefits, and of housing benefit and council tax benefit. If they are aged 60 or over, they have the equivalent additional amount for carers included in their pension credit assessment.