A damning review has uncovered that hundreds of thousands of unpaid carers were unfairly burdened with massive debts due to systemic failures in the management of Carer's Allowance. The investigation revealed longstanding and unacceptable leadership lapses within the Department for Work and Pensions, alongside poor benefit design and unlawful internal staff guidance.
MPs Condemn Senior Officials' Behaviour
MPs have strongly criticised what they describe as the "absolutely unacceptable behaviour" of senior welfare officials regarding the Carer's Allowance scandal. During a select committee hearing, Sir Peter Schofield, the permanent secretary at the DWP, faced intense scrutiny and was accused of offering vague and unsatisfactory explanations.
"A Lot of Blancmange"
The committee chair, Labour's Debbie Abrahams, challenged Schofield over the department's response, stating that the review highlighted a "massive failure of culture, let alone competence." Liberal Democrat MP Steve Darling went further, accusing Schofield of giving out "a lot of blancmange" – a metaphor for unclear and insubstantial answers – when pressed for evidence of concrete management changes.
Human Impact and Systemic Failures
The independent review, published in November, found that carers who received overpayments often accumulated debts amounting to thousands of pounds. Many felt so desperate that they contemplated suicide, with the system described as leaving them "at the whim of a faceless machine." The DWP's failures persisted despite numerous internal warnings and reports, which were initially exposed by an award-winning Guardian investigation.
Apologies and Promises of Change
Schofield apologised for the DWP's mistakes, acknowledging that the department "got that wrong" and expressing determination to "make a difference" and rectify the issues. He emphasised that the DWP is now equipped with the necessary funding and tools to prevent such problems from recurring. However, MPs remained sceptical, questioning the tangible evidence of cultural and management overhaul within one of the government's most challenged departments.
Ongoing Reassessment and Historical Cases
In response to the scandal, ministers have ordered the reassessment of approximately 200,000 historical cases where carers may have incurred overpayments due to the DWP's incorrect application of earnings averaging rules. It is estimated that around 26,000 carers could have their debts either cancelled or significantly reduced as a result of this process.
The controversy underscores deep-seated issues within the benefits system, highlighting the urgent need for transparency, accountability, and substantive reform to protect vulnerable individuals who provide essential unpaid care.
