The sum paid in the form of a direct payment is paid to the suitable person who will receive payment on behalf of the person who lacks capacity. The suitable person holds those monies in trust for the person lacking capacity. The person lacking capacity is the beneficiary.
The suitable person will be responsible for managing the direct payments and buy services to meet the needs of the individual. However, councils also have a duty to set up financial monitoring arrangements for audit purposes to ensure that the person's needs are being met and that the finances are properly managed.