Planning for the future often focuses on finances, pensions, or writing a Will – all important considerations. However, one of the most important legal protections you can put in place is a Lasting Power of Attorney. While it’s not always easy to think about the possibility of not being able to make decisions yourself, having this legal arrangement in place ensures that someone you trust can step in if needed.
In this Lasting Power of Attorney guide, we’ll explain what it is, why it matters and how it can help protect both you and your family.
What is a Lasting Power of Attorney?
A Lasting Power of Attorney (LPA) is a legal document that allows you to appoint one or more trusted people (known as attorneys) to make decisions on your behalf if you become unable to do so yourself.
This could happen due to illness, an accident or conditions that affect mental capacity, such as dementia. Having an LPA in place ensures that the people you trust can manage important decisions about your life, finances and wellbeing.
Without an LPA, your family may need to apply to the Court of Protection to make decisions on your behalf if needed, which can be time-consuming and costly.
Types of Lasting Power of Attorney
In the UK, there are two different types of Lasting Power of Attorney, and many people choose to set up both.
1. Property and financial affairs LPA
This type allows your chosen attorney to make decisions about your finances. This might include:
- Managing bank accounts
- Paying bills or household expenses
- Collecting pensions or benefits
- Buying or selling property
This LPA can be used with your permission while you still have capacity, or later if you become unable to manage your own affairs.
2. Health and welfare LPA
A health and welfare Lasting Power of Attorney allows your attorney to make decisions about your care and personal wellbeing.
These decisions could include:
- Medical treatment
- Care arrangements
- Moving into a care home
- Daily routines and personal care
Unlike the financial LPA, this type can only be used if you lose mental capacity to make decisions yourself.
Why is a Lasting Power of Attorney important?
Creating an LPA is about planning ahead and ensuring your wishes are respected.
If something unexpected happens and you are unable to make decisions, your attorneys can step in immediately to manage your affairs. This can reduce stress for your family and avoid legal complications during an already difficult time.
Without an LPA, even close relatives may not have the authority to access your bank accounts or make important decisions about your care.
Choosing the right attorney
Selecting the right person to act as your attorney is one of the most important decisions when creating an LPA. Most people choose a spouse, partner, adult child or another trusted family member. However, you can appoint anyone over the age of 18 who you trust to act in your best interests.
You can also appoint more than one attorney, either to act together (jointly) or separately (this is also sometimes known as jointly and severally).
How to set up a Lasting Power of Attorney
Setting up an LPA involves completing official forms and registering them with the Office of the Public Guardian.
The usual steps include:
- Choosing your attorney or attorneys
- Completing the LPA forms
- Having the document signed and witnessed
- Registering it with the Office of the Public Guardian
Registration can take several weeks, so it’s best to arrange this well before it may be needed.
It’s a good idea to seek legal advice to ensure the process is completed correctly and reflects your wishes.
When should you put a Lasting Power of Attorney in place?
An LPA is often associated with older age, but it can be beneficial for adults at any stage of life.
Unexpected illness or accidents can happen at any time. Setting up an LPA early provides peace of mind that your affairs will be handled by someone you trust if the unexpected happens.
Speak to Batt Broadbent to find out more about setting up a Last Power of Attorney.