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Carers: Zero Hours Contracts

Asked by Andrew RangerLabourDepartment for Work and PensionsTabled Answered 29 July 2026UIN 18200

The question

To ask the Secretary of State for Work and Pensions, if he will assess the potential merits of introducing an annualised earnings assessment for recipients of Carer's Allowance employed on zero-hours and other irregular contracts to ensure that fluctuations in working hours and holiday pay do not result in the loss of Carer's Allowance and associated National Insurance credits for carers whose overall annual earnings remain below the equivalent annual earnings threshold.

Answered by Sir Stephen Timms

The Government is committed to improving and modernising how earnings are treated in Carer's Allowance. It has increased the weekly earnings limit to match 16 hours at the National Living Wage, improved guidance, and is exploring longer-term changes to the benefit, including automation of earnings and the possibility of an earnings taper. A Call for Evidence to support this work was launched on 7 July 2026 and is open until 18 August 2026: Carer's Allowance: call for evidence - GOV.UK.

Where Carer's Allowance recipients undertake paid work, there is flexibility for Decision Makers to average earnings where these fluctuate in a regular pattern, using a period that best reflects the individual's working pattern.

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