Definition
A direct payment is a cash payment from the local authority to a family (or managed account) that allows them to commission services (such as therapy, 1:1 support, or short breaks) directly rather than via the LA. Direct payments for education provision sit under regulation 9 of the SEND (Personal Budgets) Regulations 2014.
In context for parents
Key checkpoints
- A direct payment is a cash payment from the LA to a family (or managed account) to commission services directly.
- Education direct payments sit under regulation 9 of the SEND (Personal Budgets) Regulations 2014.
- Each direct payment must be tied to specific provision in the plan; family keeps receipts and accounts quarterly.
- More common in Section H social care (under Children Act 1989 and Care Act 2014) than in Section F education.
- LA must be satisfied the recipient can manage the payment, the provision will meet outcomes, and it represents value for money.
Direct payments are one of the four delivery routes for a personal budget within an EHCP. They are paid into a dedicated bank account (often managed by a third-party payroll or accounts service) and used to pay self-employed therapists, agencies, or, in some cases, family-employed support workers. Each direct payment must be tied to a specific provision in the plan, and the family must keep receipts and account for spending, usually quarterly.
In practice, direct payments for Section F education provision are uncommon. The legal default is that the LA arranges and pays the provider; the direct payment route only opens where the LA agrees the provision can be commissioned by the family without harming the wider service. For SaLT or OT during long NHS waits, a direct payment for a specified number of independent therapy hours is the most common education direct payment.
Direct payments are far more common in Section H social care provision: short breaks, respite, support worker hours, holiday play schemes. These typically sit under the Children Act 1989 and the Care Act 2014 (for children approaching 18) alongside the SEND framework. The Children and Families Act 2014 introduced an integrated approach but the underlying social care duties remain.
The LA must be satisfied that the recipient can manage the payment (with or without assistance), that the provision will meet the outcomes in the plan, and that it represents value for money. Refusal must be in writing with reasons; the family has a right to ask for review.
Related terms
The terms parents most often see alongside Direct Payment.
Personal Budget
An identified amount of funding within an EHCP that parents can choose to direct themselves, in agreement with the LA, towards securing the provision in the plan.
Education, Health and Care Plan(EHCP)
A legally binding document, issued by a local authority in England, that describes a child or young person's special educational needs and the provision the LA must arrange to meet them.
Where parents ask about this
Parents usually find this page when an NHS SaLT or OT wait has reached crisis, when negotiating short breaks with social care, or when a self-employed therapist needs invoicing direct from the budget. Searches include "EHCP direct payment SaLT", "managed account direct payment SEND", and "direct payment refused next steps". A Beaakon advocate can draft the direct payment request, identify the regulation 9 conditions the LA must apply, and challenge a refusal if the LA's reasoning does not stand up.
References
The primary legislation, statutory guidance, research, and clinical tools this page draws on.