The generation of induced pluripotent stem (iPS) cells has enabled the derivation of patient-specific pluripotent cells and provided valuable experimental platforms to model human disease. Patient-specific iPS cells are also thought to hold great therapeutic potential, although direct evidence for this is still lacking. Here we show that, on correction of the genetic defect, somatic cells from Fanconi anaemia patients can be reprogrammed to pluripotency to generate patient-specific iPS cells. These cell lines appear indistinguishable from human embryonic stem cells and iPS cells from healthy individuals. Most importantly, we show that corrected Fanconi-anaemia-specific iPS cells can give rise to haematopoietic progenitors of the myeloid and erythroid lineages that are phenotypically normal, that is, disease-free. These data offer proof-of-concept that iPS cell technology can be used for the generation of disease-corrected, patient-specific cells with potential value for cell therapy applications. The feasibility of deriving patient-specific iPS cells and their value as experimental models for specific diseases were reported almost a year ago. Patient-specific iPS cells are also thought to have great therapeutic potential, though direct evidence was lacking. Raya et al. now show that iPS cells from Fanconi anaemia patients can, after correction of the genetic defect, be reprogrammed to generate patient-specific iPS cells that can give rise to disease-free haematopoietic progenitors of myeloid and erythroid lineages. These cells have potential value for cell therapy. The generation of patient-specific induced pluripotent stem cells (iPS cells) is thought to hold great therapeutic potential. Here, somatic cells from Fanconi anaemia patients are reprogrammed to pluripotency after correction of the genetic defect, generating patient-specific iPS cells.