lasting powers of attorney (LPA)

What is a Lasting Power of Attorney (LPA)?

A lasting power of attorney (LPA) is a legal document that lets you (the ‘donor’) appoint one or more people (known as ‘attorneys’) to help you make decisions or to make decisions on your behalf.

This gives you more control over what happens to you if you have an accident or an illness and cannot make your own decisions (you ‘lack mental capacity’).

There are 2 types of LPA:

• health and welfare
• property and financial affairs

 Health & Welfare LPA

Use this LPA to give your attorney(s) the power to make decisions about things like:

• your daily routine, for example washing, dressing, eating
• medical care
• moving into a care home
• life-sustaining treatment

It can only be used when you’re unable to make your own decisions (lack mental capacity)

Property & Financial Affairs LPA

Use this LPA to give your attorney(s) the power to make decisions about money and property for you, for example:

• managing a bank or building society account
• paying bills
• collecting benefits or a pension
• selling your home

 It can be used as soon as it’s registered, with your permission. 

Why do I need a Lasting Power of Attorney (LPA)?

 The UK population is ageing rapidly, with the number of people aged 65 and over growing by nearly half in the past 30 years. People living longer is a cause for celebration, but older people are more vulnerable to loss of capacity through dementia, Alzheimer's or a stroke. Added to this anyone can have a serious accident, resulting in loss of capacity, either mental or physical. With Powers of Attorney in place, it is reassuring to know that if you are unable to make decisions for yourself in the future, the person you choose will make these decisions for you.

If you lose your mental capacity without having Lasting Powers of Attorney in place, then your loved ones will have no legal authority to manage your affairs, no access to any bank accounts, investments or the ability to manage any property in your name.

There is a belief that holding assets in joint names will overcome this, but this is not the case! If a bank is made aware that a party to a joint account has lost their capacity, then they are obliged to freeze the account. If a joint owner of a property loses their capacity, then without Powers of Attorney the other owner will be unable to sell their home.

In these cases your loved ones will have to apply to the Court of Protection for a deputyship. This can be both extremely costly and protracted, leaving them in a hiatus, unable to act for you.