Businesses and charities will call next week for tax breaks for employees who care for older relatives so they can invest part of their salary in low-level care services for their loved ones.
Counsel and Care, Carers UK, BT and John Lewis are backing the proposal, which would let employees exchange part of their salary for a tax-free voucher they could spend on care, in the same way as the existing system for child care.
It is estimated that £390m could be invested in services in this way, if 150,000 people take part and vouchers are worth £50 a week.
On this basis, employees would save up to £1,000 a year in tax and national insurance and employers about £300, on average, with a total annual cost to the government of £195m.
The groups suggest the vouchers could be invested primarily in low-level, preventive services that are currently not provided through social services.