PERSONAL HEALTH BUDGETS
How personal health budgets are managed
A PHB can be managed in different ways, from the NHS arranging support directly to funds being managed through a third party account.
ILBP provides managed and third party account services so PHB money is spent safely, tracked clearly and reported in a way that supports reviews and audit.
Request a Call Back
The main ways a PHB can be managed
Different areas use different models. The key is choosing an option that delivers personalisation while keeping funds safe and easy to monitor.
Notional budget
The NHS holds the money and arranges the support. The person still has a plan and agreed outcomes, but does not handle the funds directly.
Third party budget
The budget is held by an organisation independent of the person and the NHS. That organisation arranges the agreed care and support and takes responsibility for those arrangements.
Direct payment
The person, their representative or nominee receives the funds and arranges support. A managed account can help with payments and records, while the recipient remains responsible for arranging care and any employer duties.
How ILBP manages PHB funds safely
Where a managed account model is used, ILBP helps ensure spending matches the plan and that there is a clear audit trail. Our process reduces risk while keeping delivery practical.
Step 1
Plan & setup
Care plan and outcomes agreed with the NHS team.
Spending rules and permitted categories confirmed.
PHB funds ring fenced in a dedicated account.
Step 2
Payments & monitoring
Invoices and approved costs paid to providers and PAs.
Checks for unusual activity or unplanned spend.
Balances monitored to prevent buildup or shortfalls.
Step 3
Reporting & review
Clear summaries for ICB and NHS teams and families.
Evidence to support reviews and assurance activity.
Adjustments when the plan or needs change.
Reviews, audit and accountability
PHBs require evidence that public money is being used as intended. We support this by maintaining clear records and producing reporting aligned to local review cycles.
Transaction histories linked back to plan categories.
Budget versus spend summaries and explanations of variance.
Clear documentation of decisions and authorised changes.
Support with queries, reviews and audit requests.
When circumstances change
Health needs and plans evolve over time. We help manage changes safely so support continues smoothly and payments remain aligned to the current plan.
Changes to provider arrangements or PA hours.
New equipment or therapies agreed within the plan.
Hospital admissions, respite, or increased or reduced support.
Updated budgets following review.
Why managed accounts are popular for PHBs
Reduces admin burden on families and clinical teams.
Provides clear oversight and audit trails.
Keeps payments consistent for providers and PAs.
Case studies
Examples of how personal health budgets, supported by managed accounts, can improve stability and outcomes.
No published case studies in this category yet.