7.—(1) A direct payment shall be subject to the condition that the service in respect of which it is made shall not be secured from a person specified in paragraph (2) unless –
(a)in the case of the service mentioned in regulation 2(2)(a) or (b), the authority is satisfied that securing the service from such a person is necessary to meet satisfactorily the prescribed person’s need for that service;
(b)in the case of the service mentioned in regulation 2(2)(c), the authority is satisfied that securing the service from such a person is necessary for promoting the welfare of the child in need.
(2) The persons specified for the purposes of paragraph (1) are –
(a)the spouse of the prescribed person;
(b)a person who lives with the prescribed person as if his spouse;
(c)a person living in the same household as the prescribed person who is the prescribed person’s –
(i)parent or parent-in-law;
(ii)son or daughter;
(iii)son-in-law or daughter-in-law;
(iv)stepson or stepdaughter;
(v)brother or sister;
(vi)aunt or uncle; or
(vii)grandparent;
(d)the spouse of any person specified in sub-paragraph (c) who lives in the same household as the prescribed person;
(e)a person who lives with any person specified in sub-paragraph (c) as if that person’s spouse.
(3) Paragraph 2 (c)(ii) and (iii) do not apply in the case of a person mentioned in Article 19C(2)(c) of the Children Order.
(4) An authority may make a direct payment subject to the following conditions:
(a)that the payee shall not secure the relevant service from a particular person; and
(b)that the payee shall provide such information to the authority as it considers necessary in connection with the direct payment.