No – this is a common myth.
LAs have a legal duty to make arrangements for the provision of suitable education for children who are unable to attend school because of their medical needs (this is set out in section 19 of the Education Act 1996). In addition, LAs must not refuse or reduce such provision on the basis of how much it will cost. This important principle was established in the landmark case of R v East Sussex County Council, Ex p Tandy.