Closing direct payments

A direct payment might close for several reasons. For example, if you move into residential care, choose to have your support arranged by the Council or if the person on direct payment passes away.

Your direct payment may also stop if you haven’t met the conditions of the direct payment. We will not do this without discussing it with you first. If you are still entitled to support, we will arrange this for you.

What happens when direct payments close

Here are some things you will need to do if the direct payment is ending:

  • if the person receiving direct payments has passed away email or call 0114 2734908 to let us know
  • if you employ personal assistants, you must give them notice and they may be entitled to redundancy pay. Your Employers Liability Insurance company can support you with this
  • if an agency that provides your support, you need to give them notice and payment for the notice period agreed in your contract with them
  • pay any outstanding invoices for support, including any notice periods agreed
  • end any direct debits or standing orders relating to the direct payment
  • get a final bank statement for the direct payment bank account

We will:

  • arrange for the direct payment to stop
  • arrange an alternative way to meet your needs and outcomes if you still require support
  • ensure you have the advice and support to close your support arrangements
  • write to you and ask you for a final bank statement. This must show the balance after all final invoices, bills and wages have been made
  • send you an invoice for any unspent money left in your account
  • help you with any questions you have.

If your direct payment is not ending but will be paid to a money management company instead of you or your suitable person, we will:

  • help you decide what money management company to choose from our recognised provider list
  • arrange for your direct payment to start being paid to the money management company
  • ask you to sign a new direct payment agreement
  • write to you to let you know the date your direct payment moved to the money management company and provide information about closing your old direct payment agreement
  • send you an invoice for any money left in your direct payment bank account
  • help you with any questions you have

We are here to help. If there is anything that you don’t understand, please call us on 0114 2735397 (Option 2) or email

Contact First Contact Team

Ask us a question

0114 273 4908 24 hours a day, 7 days a week

Howden House 1 Union Street Sheffield S1 2SH