Personal budgets and direct payments

Direct payments

Direct payments are cash payments given to disabled people and their families in lieu of community care services they have been assessed as needing, and are intended to give people greater choice in their care. The payment must be sufficient to purchase services that meet people's eligible needs.

Recipients can employ people, often known as personal assistants, or commission services for themselves. You can get support in fulfilling these responsibilities from direct payment support services commissioned by local authorities, often from user-led organisations.

Direct payments are available across the UK and to all client groups, including carers, disabled children and people who lack mental capacity. However, they cannot be used to purchase residential care or services provided directly by local authorities.

Personal budgets

Personal budgets are given after an assessment of needs. You can either take the personal budget as a direct payment, or – while still choosing how your care needs are met and by whom – leave councils with the responsibility to commission the services. Or you can have some combination of the two.

As a result, personal budgets provide a potentially good option for people who do not want to take on the responsibilities of a direct payment. Personal budgets have been rolled out in England since 2008, with a target of providing every service user with one by 2013.

In 2013, we will be working with Blackpool City Council to pilot personal budgets. Watch this space for more news coming soon.