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What are personal health budgets? 

What are personal health budgets? 

Find out if you are eligible for a personal health budget that will help with your health and wellbeing

What is a personal health budget?

A personal health budget is an amount of money to support your health and wellbeing needs, which is planned and agreed between NHS North East London as your local Integrated Care Board (ICB) and you, or your representative.

A personal health budget allows you to manage and purchase services, support, activities and some types of equipment to achieve your health and well-being outcomes agreed with your local ICB or NHS team.

It works in a similar way to personal budgets, which allow people to manage and pay for their social care needs.

A personal health budget can only be spent on things that will enable you to meet your health and wellbeing outcomes that have been agreed with the NHS.

Who is eligible for a personal health budget

The right to have an assessment for a personal health budget applies to:

  • adults receiving NHS continuing healthcare (NHS-funded long-term health and personal care provided outside hospital)
  • children in receipt of continuing care
  • people who meet the eligibility criteria of their local NHS wheelchair service, these people will be eligible for a personal wheelchair budget.
  • people who are eligible for after-care services under section 117 after-care of the Mental Health Act

How is the money managed?

There are three ways the money can be managed:

  1. Direct payment: The money is paid to a person or their representative and they purchase the care and support that has been agreed. This can also be managed by a direct payment support service, sometimes known as a managed account.
  2. Third party budget: The money is paid to an organisation who is contractually and financially responsible for all elements of the budget, including the employment of personal assistants (PAs).
  3. Notional budget: The money is held by the NHS, which purchases the care and support in the usual way.

There may be times when the ICB considers that a personal health budget would not be appropriate, or that the use of a particular type of personal health budget would not be appropriate.

For example, where it is an impracticable or inappropriate way of securing NHS care for an individual. This could be due to the specialised clinical care required or because the personal health budget would not represent value for money. The ICB will consider how else a person’s care and support could be personalised.

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