New Report Reveals the Financial Crisis Facing UK Carers

On 20th November, Carers UK released a major new report that exposed the scale of financial difficulties facing unpaid carers across the UK.

To kick off Carers Rights Day, Carers UK Chief Executive, Helen Walker, shares a message about this year's theme, 'Know your rights, use your rights,' and the crucial importance of raising awareness today.  Supported by HSBC UK, the findings reveal how many carers are struggling to cover essential costs, and how a significant number do not know where to turn for support. This is not a one-day issue or a campaign moment. It’s a nationwide problem affecting millions of families right now.

The Financial Reality for UK Carers

The findings are stark and highlight a system that isn’t working for the people who keep it running.

• 1 in 5 unpaid carers say they are finding it difficult to make ends meet

• 34% of those who are struggling don’t know where to go for financial advice

• 41% do not know which benefits they are entitled to

• 63% have not accessed any financial guidance in the last 12 months
  

Carers often face extra, unavoidable expenses, including:

• Higher heating costs

• Frequent travel for hospital and medical appointments

• Reduced income due to cutting hours or leaving work
  

These pressures build up quickly, leaving little room to save or plan ahead.

The Scale of the Issue

Across the UK, 5.8 million people are providing unpaid care. Of these, 1.2 million are living in poverty.

For those providing 35+ hours of care per week, the poverty rate rises to 43%, compared with 18% for people who are not carers. That difference shows just how quickly caring responsibilities can lead to long-term financial difficulties, even for households that previously felt secure.

Why Many Carers Feel Unprepared

A large number of carers said they would have made different decisions earlier in life if they’d understood the financial impact of caring. These reflections include:

• Staying in work longer

• Starting to save earlier

• Contributing more consistently to pensions

• Preparing for possible reductions in income
  

This isn’t a matter of poor planning. It reflects the reality that many carers never receive the information they need when they need it.

Barriers to Getting Support

The report highlights several common obstacles that prevent carers from accessing help:

• A lack of time to research advice

• Limited tailored resources

• Concerns around confidentiality

• Stigma or embarrassment about seeking financial help
  

These barriers are especially common among those who are already struggling to make ends meet.

Why This Report Matters

Carers Rights Day is held every November, but the issues highlighted in the report go far beyond a single date on the calendar. They point to a long-term need for clearer information, better systems, and real financial support for the people who provide essential care every day.

The findings also reveal that 54% of carers need extra financial support right now. For those receiving Carer’s Allowance, that figure jumps to 84%.

What Carers UK and HSBC UK Are Doing

HSBC UK has achieved Carers UK’s Level 3 Carer Confident Ambassador status, recognising ongoing work to support employees with caring responsibilities.

Together, HSBC UK and Carers UK are working to:

• Simplify financial information

• Improve clarity around benefits and eligibility

• Offer practical financial tools and guidance

• Increase signposting to essential services
  

Their resources focus on long-term financial resilience rather than quick fixes. Importantly, both organisations acknowledge that advice alone isn’t enough. Many carers need direct and tangible financial support.

Where Carers Can Get Help Today

Anyone caring for someone can access free support through:

Carers UK – guidance and practical advice www.carersuk.org/help-and-advice

HSBC UK – financial fitness tools www.hsbc.co.uk/financial-fitness

These include free webinars, one-to-one financial health checks, and carers-specific budgeting and planning tools for customers and non-customers.

Frequently Asked Questions About Financial Support for UK Carers

What is Carers Rights Day? It’s an annual awareness day held in November to help unpaid carers understand their rights and access support. It has been running for more than 25 years.

What support can unpaid carers get in the UK? Support includes Carer’s Allowance, Carer’s Credit, respite services, local council help, and free guidance from organisations such as Carers UK. Some banks also offer financial well-being tools for carers.

What financial help is available for someone looking after a family member? You may be eligible for Carer’s Allowance, Universal Credit top-ups, Council Tax reductions, pension credits, or disability-related benefits for the person you care for. A benefits calculator can help you check quickly.

Where can carers get financial advice for free? Carers UK offers free advice, guides, and a helpline. Many high-street banks provide free budgeting guidance and financial health checks, even for non-customers.

Why do carers struggle financially? Extra costs and reduced income play a significant role. Many carers cut work hours or stop working entirely while also covering higher household bills and travel costs.

How do I know what benefits I’m entitled to as a carer? Use a benefits calculator or speak to Carers UK for tailored guidance or use their invaluable Carers Connect forum. Many carers discover they are missing out on financial help they didn’t realise they could claim.

Is Carer’s Allowance enough to live on? Most carers say it isn’t. The report highlights a clear need for increased financial support alongside better information.

Can I claim Carer’s Allowance if I work? Yes, but only if you earn under the current earnings threshold and meet the eligibility criteria. This threshold changes annually.

How many unpaid carers are there in the UK? There are approximately 5.8 million unpaid carers across the UK.

Why don’t carers access financial guidance? Common reasons include lack of time, feeling overwhelmed by benefits systems, stigma, or not knowing where to go for support.

What are the biggest challenges unpaid carers face? Financial pressure, emotional stress, limited free time, and the complexity of navigating benefits. Those caring 35+ hours weekly are at the highest risk of poverty.

How can carers manage money when already stretched thin? Start with small steps: check your benefit entitlement, book a free financial review with your bank, and explore budgeting tools created for carers.

Does caring affect my pension? Yes. If you leave work or reduce hours, you may miss National Insurance contributions. Carer’s Credit can help fill these gaps.

Can carers get help with energy bills or heating costs? You may qualify for the Warm Home Discount, disability-related support, or local financial assistance depending on your circumstances.

Are HSBC UK’s resources available to non-customers? Yes. Their financial well-being tools and webinars are open to everyone.