Direct Payments and personal budgets

Arranging and paying for care 

Learn how your personal budget is worked out, how bills are sent, and how you can arrange your own care using direct payments. 

What is a personal budget? 

A personal budget is the amount of money the council says it will take to meet your care and support needs. 

It’s based on two assessments: 

• a needs assessment – to understand what care you need 
• a financial assessment – to see what you can afford to pay 

Managing your personal budget 

You can often choose how your budget is managed: 

1. the council arranges all your care 
2. you arrange your own care using direct payments 
3. a mix of both – the council arranges some care, and you arrange the rest 

If the council arranges your care 

You’ll receive bills for the care in your Care and Support Plan, unless your financial assessment shows you don’t need to pay. 

Your bill will be based on: 

• the care you agreed with your social worker 
• how much you’ve been assessed to contribute 

Cancelling services 

You may still be charged if you cancel a service, because the council may have already paid for it. 

Examples: 

• if you miss a day at a day centre, you may still be billed 
• if you're not home when carers arrive, or turn them away, you’ll still be charged 

If you miss care because of an emergency (like a hospital stay), tell us quickly so we can update your bill. 

If your care needs change 

• contact us for a review if your situation changes 
• your support plan and billing will be updated from the date of the change 
• keep paying bills while waiting for any adjustments — any refund will show on your next bill 

For billing questions, call: 01332 647 887 

When you’ll receive bills 

• your first bill may take time – we wait for providers to confirm your care 
• set money aside to pay when it arrives 
• after that, you’ll get a bill every 4 weeks 
• if your weekly costs are low, you may get bills less often 

If you don’t pay, we’ll contact you. Continued non-payment could lead to legal action. 

Instructions for payment are printed on the back of your bill, including how to pay online. 

Using direct payments 

With direct payments, you arrange and pay for your own care using money from the council. 

How it works 

• open a separate bank account 
• pay in your contribution (from your financial assessment) 
• the council adds their share every 4 weeks 

If you’d like to use direct payments, contact us to discuss your options. 

Help managing the money 

You can ask for a managed account if you need help. Someone else will manage the money, but you still decide what care you want. 

What you can spend direct payments on 

You can only use the money to meet needs listed in your Care and Support Plan. Your social worker will guide you. 

You must: 

• Sign a Direct Payment Agreement 
• Keep receipts and records 

You can spend it on: 

• hiring a personal assistant (PA) 
• care from an agencyOpens in new tab 
• respite careOpens in new tab at home or in a care home 
• transportOpens in new tab to activities or appointments 

Using it for respite care 

You can use direct payments for respite care if it’s included in your plan. You can choose more expensive options, but you’ll need to cover any extra cost. 

Employing a personal assistant 

A personal assistant (PA) gives care that helps you live independently. 

Benefits of hiring a PA 

• You choose what they do 
• You choose when they work 
• You can hire someone you know, like a family member 

You can also hire a professional PA using the Personal Assistant RegisterOpens in new tab. 

They can help with: 

• getting dressed or washed 
• making meals 
• taking medication 
• going out and using transport 
• tidying your home 
• attending work or college 
• social activities 

More advice on employing a personal assistant.

If you hire someone: 

• You are their employer 
• You must handle any problems or complaints fairly 
• Follow your disciplinary process if needed 

If you suspect abuse, contact the Safeguarding Team immediately. 

What you can’t spend direct payments on 

You cannot use direct payments for: 

• everyday living costs (like food, rent, bills) 
• household repairs 
• general furniture or appliances 
• alcohol or tobacco 
• gambling 
• paying off debts 
• funeral costs 
• NHS services 

Keeping track of the money 

Around 6 to 8 weeks after you start using direct payments, your social worker will check: 

• how you’re managing 
• whether your care plan is working 
• if any changes are needed