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Carers lose £11,000 a year in earnings

07 December 2007

New statistics, published to coincide with Carers UK’s Carers Rights Day, Friday 7 December 2007, show that the average loss in earnings last year by carers who had either to give up their job, reduce their hours or take a more junior position in order to care for sick, frail or disabled relatives or partners, was £11,050.

Financial compensation through the Carer’s Allowance benefit – provided a carer is eligible by earning under £95 a week – is just £48.65 a week. The findings, published by Carers UK in the report ‘Out of Pocket’, come from a Carers UK survey¹ of 3,000 carers which shows the extent of the financial difficulties which carers face – particularly older carers in their late fifties and early sixties, and those who are caring for more than 50 hours a week.

Currently around one in five of the nation’s 4.4 million carers of working age have to give up their employment in order to care. Men lose out on an average of £13,681 per annum compared to an average of £10,083 per annum for women. Nearly 45 per cent of working age carers say that they would like to work but more than a third (38%) say they cannot work unless they have the right care services.

“This report demonstrates for the first time the extent of the financial penalty faced by carers through showing the amount of earnings lost by carers annually.” says Imelda Redmond, Chief Executive of Carers UK.

“Besides the monetary penalties of caring there are other negative consequences to giving up work, such as the loss of workplace skills, social isolation and reduced confidence. This makes it much harder for carers to return to work in the future. It also means that they are less able to save for their retirement or for their own future care needs.”

The same research study for Carers UK finds that a third of carers are in debt and one in ten cannot afford their rent or mortgage. The main reasons that carers are often forced to give up work or reduce their hours are :

  • lack of appropriate support services
    Between 40 and 50 per cent of working carers say that a lack of flexibility and sensitivity in the delivery of services hampers them in obtaining support.  Only 25 per cent say that they have adequate support from formal services for them to be able to combine work and care.²
  • a lack of flexibility at work, or unsupportive colleagues
    More than half those surveyed said that their employers are ‘carer-friendly’² and the Confederation of British Industry (CBI) recently found that employers had accepted 93 per cent of requests – either in full or with an agreed compromise. However, anecdotally, calls to the Carers UK’s helpline indicate that awareness is low among some managers, proving the importance of training and designing policies for carers.
  • benefit rules which stop carers from working
    The fact that carers can only earn £95 a week to receive the Carer’s Allowance which traps them in low-wage jobs.
  • a refusal by the person they care for to accept formal care services
    This highlights the need for flexible and appropriate services, including technology solutions such as telecare, which look at the support the family requires as a whole – and possibly a service to help the carer.

Carers UK has submitted extensive recommendations to Government to inform not only the current review of the Prime Minister’s National Strategy for Carers, but also the Standing Commission on Carers which, it is hoped, will provide leadership and direction over the next decade

Key recommendations include:

  • A complete overhaul of the way health and social care services are provided, with a much stronger focus on supporting carers with innovative and forward-thinking policies, including telecare solutions, to help carers remain in or return to work.
  • Greater investment in social care - improving training, status and pay in the social care workforce, stimulation of the care market and greater resources for support agencies
  • New legislation to make it illegal to discriminate against carers
  • A full review of carers’ benefits
  • A new social contract for carers which makes it clear what the state, employers, families and other services will provide, and what individuals have to contribute.
  • The right to request flexible working to all employees – to make it the norm and reduce any stigma
  • Jobcentre Plus to make carers a priority group
  • Better information and advice for carers 

“Although we have moved forward in terms of helping working-age carers, there is still a long way to go to give carers a genuine choice about whether they can work or not, or what job they may wish to do.” continues Imelda Redmond. 

 “We now have strong evidence from carers themselves. We need the political will across Government to go that bit further - to recognise the challenges carers face and give them the life choices we take for granted.  Accessing information and advice also plays a crucial role in enabling carers to make choices about their lives. Whether it’s meals on wheels, extra help in the morning, accessing telecare services, financial help or changing their work patterns, knowing what support is available can give carers the vital choice about staying in work or not.”

“To help carers make these choices, Carers UK has produced a new free guide for carers, to coincide with Carers Rights Day, which informs them of their rights and entitlements.”

James Buckley, CEO of Tunstall, the market-leading telecare solutions provider says: 
“We want to be able to give carers a real choice about how they work, and prevent them from being trapped by a lack of support services, and, indeed, those they care for.  We fully support Carers UK in calling for real solutions to give carers greater independence.  

“Telecare provides reassurance, letting carers know immediately if a loved one needs help, feels unwell, has fallen, has left the house, or is in danger.  This enables the carer to go to work safe in the knowledge their loved ones are being supported.” 

  • ‘Looking after someone: a guide to carers rights and benefits’ is available free by calling the Carers UK helpline: 0808 808 7777 or by visiting www.carersuk.org.

  • The theme of Carers Rights Day 2007, which is run by Carers UK, is ‘Caring Costs’. Countrywide, a record number of nearly 1,200 groups have signed up to take part in events and activities.

  • For further information about Carers Rights Day, please visit www.carersuk.org/carersrightsday

- ends -

¹Out of Pocket, a survey of carers’ lost earnings’, was published by Carers UK in May 2007. The survey was from nearly 3,000 carers carried out during January 2007. The report is available from www.carersuk.org/carersrightsday

²Carers, Employment and Services Report Series, Carers UK. 2007

Further information

Kate Groucutt T. 0845 241 2547 M. 07855 383 445 email: kate.groucutt@carersuk.org.   
or Patricia Orr / Julia Pitman. T. 020 7592 1980/1990  M. 07889 140 139
email: pat@thirdsectorpr.co.uk

Notes to Editors

  1. Spokespeople and case studies are available. Please contact the numbers above.
  2. To find out about events happening across the UK on Carers Rights Day, please visit http://www.carersuk.org/Newsandcampaigns/CarersRightsDay/Events2007
  3. Carers UK is the leading campaigning, policy and information organisation of and for carers. Carers UK continues to make a difference to carers' lives by: campaigning for a better deal for carers; informing carers of their rights and what help is available; training and advising professionals who work with carers; working across the UK through its membership and networks of branches and affiliates. For more information, visit www.carersuk.org or for advice on your caring situation call CarersLine on T. 0808 808 7777.
  4. Carers Rights Day 2007 is being supported by Tunstall and part funded the European Social Fund under its EQUAL Community Initiative Programme.    
  5. Tunstall’s market leading telecare solutions transform the lives of carers by providing 24 hour peace of mind and support, relieving the worry and delivering independence and dignity to carers and those they care for. For more information on how telecare and telehealth can improve quality of life, visit www.tunstall.co.uk. For press enquiries contact Emma Roper: 01977 660313 or emma.roper@tunstall.co.uk
  6. Saga magazine has also published research on carers on Carers Rights Day, showing that up to four million people over 50 care for an older relative or partner, but only 12 per cent of these receive any carers' benefits. Visit the Saga website here for more information.

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