Disability benefits for older people: how does the UK Attendance Allowance system really work?

Stephen Pudney

No 2010-02, ISER Working Paper Series from Institute for Social and Economic Research

Abstract: We analyse FRS survey data on the relationship between disability and receipt of the Attendance Allowance (AA) disability benefit by older people. Despite being non-means-tested, we find that AA is implicitly income-targeted and strongly targeted on those with care needs. We focus particularly on the receipt of higher-rate benefit, intended for those in need of day-and-night care, finding that, in practice, higher-rate payments are negatively related to age and income, in addition to care needs. The allocation of higher-rate AA awards strongly favours people with physical rather than cognitive disabilities.

Date: 2010-01-25
New Economics Papers: this item is included in nep-age, nep-eur and nep-lab
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Citations: View citations in EconPapers (4)

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