Pensions joy for army of carers

Thousands of people in Rochdale who juggle working with being a carer are set to benefit from a boost to their pensions.

From April, anyone who is looking after someone for more than 20 hours a week but is not being paid to do so, can qualify for the new Carer’s Credit. It will help them build up a full basic state pension based.

The Department for Work and Pensions believe 4.7 million carers across the country could benefit.

Chairman of the Commons powerful Work and Pensions Committee, Terry Rooney MP, said: “The issue is that the National Insurance system was always discriminated against unpaid workers.

“If you are looking after a child or a disabled relative it is not valued.

“This is not right as without these people society would collapse.

“The new system will recognise this and carers will be recognised as if they were in a full time job. It is about putting equal value on unpaid work. The majority of people who will benefit from this are women.”

Research by MORI has shown that most carers focus on the job in hand rather than planning for their financial future.

Less than one in five regularly pay into a savings account, and just one in seven felt they had a comfortable amount put aside.

The survey also revealed that 46 per cent of the carers questioned were worried about the future financially, and 36 per cent had already dipped into savings.

Minister of State for Pensions and Ageing Society Angela Eagle said: “We want people to tell us if they, or people they know, are looking after somebody for more than 20 hours a week so they benefit from this change.

“The State Pension is everyone’s foundation of financial security in later life and therefore, it’s only right that caring for others should be counted towards it.”

For more information visit www.direct.gov.uk/pensions  or call 0800 678 1132.