Lasting Powers of Attorney

Whilst you may take great care over managing your savings, your property and your business interests, there may come a time when you need some assistance.

What is a Lasting Power of Attorney (LPA)?

LPAs are documents that let you choose people to look after your affairs if you are not able to do so yourself, whether due to dementia, stroke, accident, or perhaps simply because you are unable to get out and about or even if you go abroad. They apply whilst you are alive and are completely separate from your Will.

The forms required and the procedure can be quite daunting to complete. We can guide you through these, explaining what attorneys can do discussing with you any guidance and instructions you wish to give them. We find that our plain English approach is incredibly helpful when discussing planning, whether it is for long-term care, powers of attorney, court of protection, equity release or Wills.

Why are LPAs important?

According to recent figures, there is a new diagnosis of dementia in the UK every three minutes and a stroke happens every five minutes. Fortunately, not everyone included in these figures will end up being unable to look after their own affairs, but the statistics are still quite stark. An LPA ensures that, should you be unable to manage your own affairs, the people you have appointed can start making decisions on your behalf immediately. This can save a great deal of money and distress, and will ensure that your affairs will be handled correctly and quickly.

What is mental capacity?

Mental capacity is your ability to understand complex ideas and the consequences of making decisions based upon those ideas. Having mental capacity is crucial in the context of powers of attorney, as it governs whether or not you are able to appoint an attorney.

What are the types of LPAs?

Property and Financial Affairs LPA

A property and financial affairs LPA allows your chosen attorney(s) to manage your finances and property on your behalf if you become unable to do so yourself. This type of LPA covers a broad range of financial matters, including:

Managing bank accounts: Your attorney can operate your bank accounts, including making withdrawals, deposits, and managing investments.
Paying bills and expenses: They can handle your bills, rent or mortgage payments, taxes, and any other financial obligations you may have.
Selling or buying property: Your attorney can buy, sell, or rent property on your behalf, including handling conveyancing matters and signing contracts.
Investments and financial planning: They can make decisions about your investments, savings, pensions, and other financial assets to ensure your financial well-being is maintained.

Health and Welfare LPA

A health and welfare LPA empowers your chosen attorney(s) to make decisions on your behalf regarding your health and personal welfare if you become unable to make those decisions yourself due to mental incapacity. Here are the key aspects it covers:

Healthcare decisions: Your attorney can make decisions about your medical treatment and care, including consenting to or refusing medical treatments, surgeries, or medications.
Living arrangements: They can decide where you should live, whether in your own home with support or in a care home, based on your best interests and preferences.
Personal welfare: This includes decisions about your daily routine, diet, clothing, and social activities, ensuring your preferences and dignity are respected.
End-of-life care: Your attorney can make decisions regarding your end-of-life care and treatment, ensuring your wishes for palliative care and life-sustaining treatments are known and respected.

How many attorneys can I appoint?

There is no limit on the number of attorneys you can appoint but give some thought as to how this would work in reality. Make sure your attorneys have the ability and capacity to act for you, and that they would be able to work together to make decisions.

In both types of LPAs, it's crucial to choose someone you trust implicitly as your attorney(s), as they will have significant responsibility and authority over important aspects of your life and affairs. Seeking legal advice when setting up LPAs ensures they are drafted correctly according to your wishes and comply with legal requirements, providing peace of mind for you and your loved ones.

How long does this process take?

We will endeavour to meet with you to discuss your wishes, prepare and thereafter sign the paperwork within a period of 2-3 weeks. The documents are then sent to the Office of the Public Guardian for registration and this process takes 3 to 4 months.

What happens if you become incapacitated without an LPA in place?

The only course of action left is for someone to apply to the Court of Protection for the right to become your deputy. This would then grant them decision making rights. However, this can be a long process and far more costly.

What does this mean?

Applying to the Court of Protection will take a lot longer and cost you more than creating an LPA. On average, it is taking in the region of 12 months.

Being a deputy also has far more ongoing obligation, including reporting and accounting requirements. There is also no guarantee that the person the court appoints as your deputy, would be the person you would have chosen to make those decisions for you.

In addition, the Court of Protection is reluctant to grant ongoing Deputy Orders in relation to health and welfare. This may not therefore be an option if an LPA has not been put in place.

For more information, visit our Court of Protection pages.

Are there any other types of power of attorney?

Yes, there is a general power of attorney. They usually deal with one issue (i.e. appointing an attorney to deal with a house sale) and expire after a period of 12 months or when you lost mental capacity. This is therefore not a long term option and we would strongly recommend that everyone put into place LPAs to protect for the future.

There is also an enduring power of attorney, but these documents were replaced by LPAs in October 2007 and only cover property and finances. If your enduring power of attorney is still valid, it can be used, otherwise a replacement LPA will need to be created.