Carers allowed to earn over the weekly limit without losing out as ‘cliff-edge’ abolished in the budget

Controversial mechanism that hit unpaid carers with huge penalties to be scrapped following Guardian investigation

The controversial rule that led to unpaid carers being punished with penalties amounting to thousands of pounds is to be abolished, the Guardian can reveal.

The chancellor, John Healey, is to announce a new digital taper system for the so-called carer's allowance in Wednesday's budget, effectively ending what is regarded as one of the UK benefit system's most feared and unfair administrative practices.