Personal Health Budgets (PHB): The Expert NHS Guide (2026)
1. What is a Personal Health Budget?
A Personal Health Budget (PHB) is an amount of money from the NHS to support your health and wellbeing needs, planned and agreed between you (or someone who represents you) and your local NHS team.It is designed to give you more choice and control over the care you receive, moving away from standard "off the shelf" services.
2. Who is eligible?
In 2026, you have a "legal right to have" a PHB if you are:- An adult receiving NHS Continuing Healthcare (CHC).
- A child receiving NHS Continuing Care.
- An adult or child with complex mental health needs who is eligible for Section 117 aftercare.
- A person with a learning disability or autism who is receiving specialized NHS support.
3. How the money is managed
There are three ways to manage your PHB: 1. Notional Fund: No money changes hands. You tell the NHS how you want it spent, and they arrange and pay for the services. 2. Third-Party Budget: An organisation (like a charity or a trust) holds the money for you and manages the care according to your plan. 3. Direct Payment: The NHS pays the money into a dedicated bank account for you. You are responsible for buying the care and potentially employing your own personal assistants.4. What can the money be spent on?
The budget must be used to meet your health outcomes agreed in your "Personalised Care and Support Plan." Examples include:- Personal assistants to help you at home.
- Specialized exercise classes (e.g., hydrotherapy).
- Equipement or technology that helps you stay independent.
- Alternative therapies (if they are clinically recommended for you).
The No-Go List: You cannot use a PHB for gambling, debt repayment, tobacco, alcohol, or standard GP/hospital services.
5. PHB and Other Benefits
A Personal Health Budget is NOT a benefit.- It is a way of delivering NHS care.
- It is not means-tested.
- It does not affect your PIP, Universal Credit, or any other income-based benefits.
- The money is not taxable income.