Irish Government Moves Toward Abolishing Carer’s Allowance Means Test

Plans to abolish the means test for the Carer’s Allowance in Ireland are progressing, following commitments made during the last general election. Major political parties, including Fianna Fáil and Fine Gael, pledged to address the financial barriers faced by carers. Their partnership with the Regional Independents has resulted in a commitment in the Programme for Government to enhance the income disregards for the Carer’s Allowance, aiming to phase out the means test throughout the government’s term.

The Carer’s Allowance provides essential weekly payments to individuals caring for someone due to age, illness, or disability. The current means-testing system evaluates the income and assets of applicants, determining eligibility for the allowance. According to estimates, expenditure on the Carer’s Allowance scheme is expected to exceed €1.2 billion in 2025, with over 100,853 individuals currently receiving the payment.

Recent Changes and Future Proposals

As part of last year’s Budget, the income disregard was increased from €450 to €625 for single recipients, and from €900 to €1,250 for those with a spouse or partner. This change took effect on July 3, 2025. Minister for Social Protection Dara Calleary stated that these adjustments make the scheme more accessible to those who previously did not qualify. The increase will result in 5,280 current recipients receiving a higher payment, meaning that 99% of existing Carer’s Allowance recipients will now receive the full rate of their entitlement.

Despite these improvements, many family carers believe the changes do not go far enough. Family Carers Ireland is advocating for an increase in the income disregard to €750 for single individuals and €1,500 for couples in the upcoming Budget. The organization is also pushing for a weekly payment increase from €260 to €325.

With the Budget approaching, the exact measures the Minister for Social Protection will implement remain uncertain. In response to a parliamentary question last week, Minister Calleary emphasized the importance of making progress in a sustainable manner, ensuring that support for other vulnerable groups in society is not compromised.

As discussions continue, it is evident that the government is committed to enhancing support for carers while navigating the complexities of budgetary constraints. This evolving situation reflects a growing recognition of the vital role that family carers play in society, and the need for policies that provide them with adequate support.