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Health and Social Care (Wales) Act 2025

Section 24 – Direct payments for health care

93.This section inserts new provision into Part 1 of the 2006 Act in order to allow the Welsh Ministers to make direct payments to individuals in lieu of the provision of services to meet their assessed needs under the 2006 Act.

94.The Welsh Ministers have exercised power under section 12 of the 2006 Act to make regulations which direct Local Health Boards (LHBs) to exercise specified functions of the Welsh Ministers under the 2006 Act on their behalf. These powers may be exercised further to direct the LHBs to exercise the Welsh Ministers’ power to make direct payments in lieu of the provision of services.

95.Section 10B(6) contains a regulation-making power which, if exercised by the Welsh Ministers, would enable LHBs to make direct payments in discharge of the LHBs’ duty to provide after-care services under section 117 of the Mental Health Act 1983.

96.Where the Welsh Ministers use the power in section 10B(1) to make direct payments, they must make arrangements for the provision of information, advice or other support to the patient, their payee or other representative. Similarly, if the Welsh Ministers make regulations under section 10B(6) to enable LHBs to make direct payments in discharge of LHBs’ duties under section 117 of the Mental Health Act 1983, the regulations must make provision about information, advice or other support to be provided by LHBs.

97.The amendments also insert section 10C into the 2006 Act, which provides that the Welsh Ministers may make regulations which specify when and how direct payments may be made. Regulations made under this provision may provide that direct payments are to be offered only in specified circumstances, or may prevent such payments being made to specified persons.

98.The amendments also insert section 10D into the 2006 Act, which provides that the Welsh Ministers and LHBs may make arrangements with other organisations to provide assistance with direct payments.

99.Amendments are also made to section 203 of the 2006 Act, the effect of which is that the first set of regulations to be made under section 10B(6) of the 2006 Act will be subject to the draft affirmative procedure in the Senedd.

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