Direct Payments transform adult social care by giving people more control over their support. In this article, Nick Parker discusses how Direct Payments help people live more independently and with dignity. He also looks at the challenges and opportunities for local authorities and the social care sector. By focusing on choice and control, we can ensure Direct Payments make a real difference in people’s lives.
Direct Payments are crucial in adult social care, giving people power and maximising their benefits. They are not just administrative tools or cost-savings measures; they are fundamental rights that support autonomy, personalisation, and dignity in care.
Direct payments are one of the most important innovations in adult social care policy of the last 30 years. Their importance cannot be overstated for several reasons:
Personalised foundation: Direct payments are key to personalised care. By giving people control over their spending, they change the traditional care model from professionals deciding what’s best, to individuals designing services that meet their unique needs and preferences.
From service user to commissioner: When people control their budgets, the power dynamic changes. They become employers or commissioners, negotiating their support terms. This shift is more than practical; it represents a significant change in identity and social role for historically marginalised people.
Innovation through flexibility: Traditional commissioned services often struggle to keep up with changing needs and best practices. Direct payments allow people to create solutions that are often more effective and cost efficient than conventional services.
Key lessons for local authorities and the sector
Move beyond token implementation: Simply offering Direct Payments isn’t enough. Authorities must ensure their policies and procedures enable meaningful choice. Too often, bureaucratic barriers and restrictive polices make Direct Payments a formality rather than a real option.
Balancing safeguarding and autonomy: Concerns about safeguarding and financial accountability must be balanced against individuals’ rights to self-determination. Risk-averse approaches that prioritise system concerns over empowerment go against the spirit and the letter of the law.
Challenging cultural resistance: Some still view Direct Payments with suspicion of paternalism. To realise their potential, this cultural resistance must be addressed through training, leadership, and focusing on lived experience.
How can we move forward?
Redesign assessment and support planning: Local authorities should review their processes to ensure they promote Direct Payments as the default option, rather than treating them as an exception
Partner and invest to support infrastructure: For Direct Payments to succeed, robust support infrastructure is essential. This includes peer networks, user-led organisations, dedicated brokers, and platforms to help individuals navigate their options. This infrastructure needs sustainable investment.
Embrace co-production: Meaningful improvement can only emerge through genuine co-production with Direct Payment users. Their expertise should guide the development of policies, procedures, and support systems.
Monitor outcomes, not just processes: Success should be measured by the outcomes Direct Payments enable, such as increased independence, wellbeing, community participation, and quality of life.
A renewed commitment
We need a renewed commitment to the principles of choice and control in modern social care. Direct Payments are not just a payment mechanism but a practical expression of the belief that individuals are best placed to determine what makes a good life and how support should be arranged to achieve it.
As we move forward, we must ensure these principles lead to practical improvements that allow more people to experience the transformative potential of Direct Payments. Anything less would fail the honour of the law and the aspirations of those who fought for these rights.
At Capita, we believe Direct Payments are more than just a funding mechanism – they’re a pathway to personalised, dignified, and effective care solutions.
If you’d like to learn more about how we can support you, please speak to our social care experts:
See our related article ‘What has ‘sustainability’ got to do with a ‘cost of care crisis’?

Nick Parker
Market Development Director – Social Care, Capita
Nick brings over 25 years experience of digital and technology solutions in local authority adult social care and with organisations from across the health and care eco-system. He has worked at local, regional and national levels for a variety of organisations and joined Capita Public Services in 2022, working with local authorities and their partners on innovative solutions to the cross system challenges faced by the sector.