The carer's allowance is a social assistance scheme which provides an income maintenance payment to people, who are providing elderly or incapacitated pensioners or certain persons with disabilities with full-time care and attention, and whose incomes fall below certain limits. At the end of last September, 9,930 people were in receipt of a carer's allowance at a cost of over £36 million in 1997.
Since its introduction in 1990, the allowance has been improved and expanded progressively over the years. As announced in the budget, the weekly personal rate of the carer's allowance is being increased from June by £5, from £70.50 to £75.50, for those over the age of 66 and £3 for carers under 66, from £70.50 to £73.50. In addition, the budget also provided for two additional improvements for carers. These include a disregard of non-national disability pensions up to the maximum level of the old age contributory pension in assessing means and the provision of a free travel pass to all those in receipt of carer's allowance in their own right.
In An Action Programme for the Millennium the Government is committed to progressively relaxing the qualifying criteria for carer's allowance to ensure that more carers can obtain the benefit and increasing the value of the allowance in real terms. In line with these commitments, an overall review of carer's allowance is being carried out within the Department. This review is considering the purpose and development of the scheme in terms of its current operation and its future development. It will also examine the potential for the development of provision for carers through the social insurance system and the role of the private sector. The review is expected to be completed by the middle of this year and it will be published. Any changes in the scheme would have to be considered in a budgetary context.