Chancellor Rachel Reeves reveals the weekly earnings limit for carers allowance will rise to the equivalent of 16 hours a week at the national living wage.
Addressing the Commons, Reeves declared: "Today I can confirm that we are increasing the weekly earnings limit to the equivalent of 16 hours at the National Living Wage per week, the largest increase in Carer's Allowance since it was introduced in 1976.
"This means that a carer can now earn over £10,000 a year while receiving Carer's Allowance, allowing them to increase their hours where they want to and keep more of their money."
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