A personal health budget is an amount of money that is spent on meeting the health needs of people, generally those with a long term illness or disability.

At the heart of a personal health budget is a care plan.  Your care plan should be developed with you in partnership with your health care professional, for instance your community nurse, or someone from your voluntary or community organisation. The plan sets out your health care and wellbeing needs, the health outcomes you want, the amount of money in the budget and how this will be spent.

The aim of a personal health budget is to give you more choice and control over the money spent on meeting your health care and wellbeing needs. This means that you select treatments and services that meet your needs in a way that is most appropriate for you.

Once your care plan has been agreed, the money in your personal health budget will be managed by a third party: an organisation legally independent of both you and the NHS who will hold the money on your behalf, and buy or provide the goods and services you have chosen.