The report, which was funded by Abrdn Financial Fairness Trust, found unpaid carers are finding it increasingly difficult to afford day-to-day living costs, with the worry and anxiety of this further affecting their mental health and wellbeing.
Of the 12,500 people questioned, six in 10 (61%) unpaid carers were worried about living costs and managing these in the future. More than a third (35%) didn’t feel confident they will be able to manage financially over the next 12 months.
Skipping meals
A quarter of carers (27%) are struggling to make ends meet and 28% of carers are cutting back on essentials like food and heating – an increase from 25% in 2022.
For those in receipt of benefits, financial hardship is even more stark, with 42% of carers in receipt of Carer’s Allowance struggling to make ends meet. As well as skipping meals, carers are being forced to go into debt to survive. Almost three in 10 (28%) carers said they have had to use credit cards and 22% have used their overdraft because of caring.
There are 5.8 million unpaid carers across the UK looking after an elderly, disabled or seriously ill friend or family member. Carers UK said unpaid carers are more at risk of financial hardship, in comparison to those who do not provide care, and often face additional bills associated with their caring role. Data published last month by Carers UK found that 1.2 million unpaid carers were in poverty.
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Cutting back on socialising
This year’s survey also found that most carers are now cutting back on social connections. More than two-thirds (68%) of survey respondents have cut back on hobbies and leisure activities in a bid to save money for essentials and 60% have reduced time spent seeing family and friends.
For many, financial worries are having a further impact on wellbeing. More than half (51%) of carers said that this is having a negative impact on their mental health, and 61% feel stressed or anxious when they think about their financial situation. This figure increased to 91% for carers who are struggling to make ends meet.
Caps on earnings
Figures from the survey also found that the earnings limit for Carer’s Allowance is preventing many carers in paid employment from increasing their income.
Nearly two-thirds (62%) of those claiming Carer’s Allowance said they had been unable to work more hours or take on higher-paid work, while 20% had an overpayment of Carer’s Allowance and 41% said that they left their paid employment because of the earnings limit.
More support needed
Helen Walker, chief executive at Carers UK, said: “Despite the fact that carers are saving the economy an astonishing £162bn a year in England and Wales alone, many carers are living in poverty. Increasing costs in recent years have had a concerning impact and we are now seeing carers take increasingly drastic measures in order to cope with difficult financial situations.
“It is heartbreaking to read comments from carers in this year’s survey. For those in challenging caring roles, further financial pressures can make a difficult situation intolerable. It is also hard to hear unpaid carers tell us that they are unable to have a life outside of caring because there is no money for anything but the essentials.
“It is unacceptable that so many carers are still struggling with their finances whilst providing so much for society. Many carers would like to work more hours or return to work, however, with the inflexible Carer’s Allowance earnings limit, this is often not possible. Without targeted support, many more risk further isolation and falling deeper into poverty.”
Vivienne Jackson, research manager at Abrdn Financial Fairness Trust, said: “The vital role that carers play in society needs to be recognised and rewarded fairly.
“It’s not right that people who care for others are facing poverty and hardship. Government and employers need to work together to ensure caring does not put people at risk of poverty.”
