Personal budgets & direct payments
What is a personal budget?
A personal budget is the amount of money your local authority (LA) identifies to pay for the support in your child or young person’s EHC plan. It can include funding from:
- education (i.e. specialist teaching)
- health (i.e. therapy services)
- social care (i.e. respite support).
You can request a personal budget:
- when a draft EHC plan is being prepared
- during an annual review or reassessment.
How can a personal budget be managed?
There are four ways:
- Direct Payments – you receive the money and arrange the support.
- Notional Budget – the LA or school/college holds the money and arranges the support.
- Third-party arrangements – an independent organisation manages the budget for you.
- Combination – a mix of the above.
Things to know
- You must have an EHC plan to request a personal budget.
- Direct payments can only be used for support listed in section F of the EHC plan.
- You need written consent from the school or college if the support is delivered there.
- The LA can refuse a direct payment if:
- it’s not a good use of public resources
- it would negatively affect other services
- you are not able to manage the money safely.
If your request for a personal budget or direct payment is refused
- The LA must explain why they have refused.
- You cannot appeal to the SEND Tribunal about this decision.
- You can ask the LA to review their decision.
- If you are still unhappy after completing the LA’s complaints process, you can make a complaint to the Local Government and Social Care Ombudsman (LGSCO).
