It operates as an independent discretionary trust funded by the Department for Work and Pensions and is managed by a board of trustees.
The money is generally used to enable disabled people to live in their own homes and to pay for care, and in particular to employ personal assistants.
[1] In May 2014 The Court of Appeal, in the case of Bracking and others v Secretary of State for Work and Pensions found that the Department for Work and Pensions' decision to close the Fund was not lawful, overturning the High Court decision of April 2013.
The Court agreed that documents which the Minister, Esther McVey, had seen in the run up to her decision proved that "the Minister did not receive a sufficient understanding of the true threat to independent living for ILF users posed by the proposal to close the fund".
Lord Justice McCombe said 'there is simply not the evidence ... to demonstrate to the court that a focussed regard was had to the potentially very grave impact upon individuals in this group of disabled persons, within the context of a consideration of the statutory requirements for disabled people as a whole'.