Unpaid Carers

My Lords, I beg leave to ask the Question standing in my name on the Order Paper, and I declare an interest as vice-president of Carers UK.

My Lords, I pay tribute to the millions of unpaid carers across the UK whose compassion, sacrifice and dedication support loved ones every day and make an immeasurable contribution to our society and economy. The Government recognise the immense contribution made by unpaid carers and the pressures highlighted in the Carers UK report. We take its findings seriously. Supporting carers to remain in work is good for individuals, employers and the wider economy. That is why we have launched a public consultation reviewing employment rights for unpaid carers, including where further workplace support is needed, while ensuring that any future changes remain fair, proportionate and workable for employers.

My Lords, I thank my noble friend for that reply. The public consultation that has been launched is very welcome. As my noble friend knows, carers want to combine paid work with caring if they can because it provides income, independence and social interaction. There is never a problem making the moral case for carers—everyone knows they are unsung heroes and heroines—but does my noble friend agree that there is a strong economic case, too? The DWP estimates that carers leaving work results in about £37 billion a year in lost productivity and increased welfare expenditure, so there are economic benefits to supporting them in any way possible, such as paid carer’s leave—as I have said, the consultation is most welcome—access to reliable social care and better support from both employers and healthcare services.

My Lords, I totally agree with my noble friend that supporting unpaid carers is both a moral and economic imperative. When experienced people are forced to leave work, we lose their skills, productivity and contribution to our economy. That is why we are reviewing employment rights for unpaid carers, including paid leave and wider workplace support. But this goes beyond employment rights. We must also consider how healthcare, social care and employers can better support carers to remain in work.

My Lords, the Minister is quite right that this goes beyond employment rights. The chief executive of Care England, Professor Martin Green, warned that the Government’s changes to employer national insurance contributions would leave many care organisations “on the brink of bankruptcy”. During the passage of the national insurance contributions Bill, His Majesty’s Official Opposition pressed the Government to exempt adult social care from these damaging provisions, but the Government rejected that exemption for no good reason. Will they now think again and exempt adult social care providers from these employer national insurance changes before more essential care provision—provision on which so many vulnerable people so desperately depend—is lost?

I hear what the noble Lord says about national insurance, but let me say this. There is a moral imperative on employers to play their part in supporting unpaid carers. There are fantastic employers up and down this country that are doing fantastic things to support carers. I shall give an example: Centrica estimates savings of £1.5 million last year in reduced absence costs alone, achieved through support measures for unpaid carers, with further savings on retention. So these measures result in improved retention, better productivity and reduced absence from work.

My Lords, when I was piloting the Carer’s Leave Bill 2023 through your Lordships’ House, Centrica was one of the companies I spoke to. Centrica and other companies were already doing phenomenal work, but we all agreed that the Bill was the first step for unpaid carers. The Act has now been in force for just over two years, and data on take-up is sketchy. At best, the Minister’s department puts take-up at 29% of those eligible, but other data says just 10%. We do not have to wait for a consultation. The barriers have been researched by the Minister’s department. The first barrier is that it is unpaid by nature: that is what we hope to change. But the second is awareness, or lack of awareness, by people who might benefit. The third barrier is fear from employers. Can the Minister tell your Lordships’ House what the Government are doing in order to take away those two important barriers—for people getting what little benefit they have already—before his consultation finishes its work?

My Lords, let me be absolutely clear. There is active cross-governmental engagement on how we better support unpaid carers, because we recognise that employment cannot be considered in isolation from health and social care. My department is working with colleagues across government, including the DWP and the Department of Health and Social Care, as we consider the evidence and responses to our current consultation. We must take our time to ensure that we get this right. Our shared objective must be to help those carers who want to work to remain in employment, while ensuring that they can access the wider support that they and those they care for need.

My Lords, some employers are now adhering to the principles of Hugh’s law when there is a seriously or critically ill child and those unpaid carers are particularly severely affected. Will the consultation cover the issue of children who are very seriously ill? Will the Government also consider—and I declare my interest in Cardiff University—monitoring the family-reported outcome measures of different interventions? These are put in place to support families where there are unpaid carers, and would enable us to get a better idea of what is effective and what is less so.

As the noble Baroness has said, the Casey commission is considering the long-term future of adult social care. We must let the review take its course. Alongside that, we are already reviewing employment rights for unpaid carers through a separate consultation. We are not waiting to gather any evidence, but we will consider carefully what more can be done to help carers remain in employment.

My Lords, does my noble friend agree that there is a particular difficulty for those who have given up full-time work—indeed given up work altogether—in order to be full-time carers? They are then left in a position where they have virtually no pension and no security. When their loved one dies, they are left entirely on their own without much support.

I totally agree with my noble friend. That is why we are conducting a review and various consultations to ensure that we better support our carers up and down the country to have unpaid leave as is necessary, and also to get the care that they need to support their loved ones.

My Lords, my noble friend will know that many young carers take on significant caring responsibilities at an early age. What further action are the Government taking to identify and support young carers, so that their caring responsibilities do not limit their ability to reach their full potential in education, well-being and future opportunities?

My Lords, my noble friend is absolutely right: young carers often face unique challenges in balancing education, work and caring responsibilities. Although the consultation before us focuses principally on employment rights for unpaid carers, we recognise the importance of ensuring that younger carers receive appropriate support and opportunities to fulfil their potential.

My Lords, does the Minister agree that parents who look after children with 24-hour needs, and who cannot get to work, need as much support as everyone else?

Absolutely. We recognise that carer’s allowance has not kept pace with the way that many carers now combine work and caring. The current earnings cliff edge can create uncertainty and unfair outcomes. That is why the Government have launched a call for evidence to modernise the benefit, including on whether payments should gradually taper as earnings rise. We have also increased the weekly earnings limit to £204. We want a system that supports carers to work, rather than one that penalises them for doing so.

My Lords, given that the issue of NEETs has been looked at by His Majesty’s Government, and that they will report back on Milburn’s recommendations, will the Government please look at the possibility of providing a free bus pass for young carers, particularly given that they have sometimes had to sacrifice their education to look after their loved ones? This support from the Government might be a step up for them in seeking work, training or education.

The noble Lord makes a very interesting suggestion. I will take it back to the officials in my department and other departments too.