QualitySolicitors Large & Gibson have put together this comprehensive guide to help guide you through the steps, and aspects for consideration when creating your Lasting Power Attorney, which is available to download today!
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Download our Guide on the Top Ten Tips on Making a Lasting Powers of Attorney (LPA) |
We all have the right to manage our own personal and financial affairs, but we can be prevented from doing so by an accident, illness or disability. Losing mental capacity can happen at any time in life but the risk increases with age. There are likely to be a million people living with dementia by 2025 according to the Alzheimer's Society.*
Many people believe that if they lose the ability to make decisions a spouse will automatically be able to act for them, but this is not the case. A Lasting Power of Attorney enables somebody you trust to pay for your healthcare needs and day-to-day bills. Without it close relatives or friends will have to apply to the Court of Protection to be able to act on your behalf and this is a long and expensive process.
It is important to know that a Lasting Power of Attorney is only valid if it is put in place whilst you still have the mental capacity to do so.
There are two types of Lasting Power of Attorney (LPA):
Property and Financial Affairs LPA. Your attorney will be able to make decisions regarding all your financial affairs. This might be buying and selling investments on your behalf (including your house), paying bills and any matters regarding your bank and savings accounts. This LPA can be used with your permission from the moment it is registered, or it can only come into effect if you lose mental capacity.
Health and Welfare LPA. This enables your attorney to make decisions relating to your daily life and health. This includes food and shopping and the type of medical treatment you receive, including end of life care. Unlike a Property and Financial Affairs LPA, this type of LPA can only be used when you lose mental capacity.
An LPA must be registered through the Office of the Public Guardian (OPG) in England and Wales. The OPG rejects around 15% of applications due to mistakes which incur delays and additional fees.**
Often applications are rejected due to missing, incorrect or unclear information. Sometimes there is a conflict of interest. For example, if the person granting the LPA (the ‘donor’) wants the attorney to be able to gift money to pay for a child’s education but doing so will mean there is not enough money left to pay for the donor’s care.
Our private client solicitors at QualitySolicitors Large & Gibson can help you to set up a Lasting Power of Attorney that offers you all the protection you need when you need it. We will ensure there are no costly mistakes that slow the process down.
If you would like to speak to a member of our team today, please contact us on 02392 296 296.
*Alzheimer's Research UK, Dementia Statistics Hub, https://www.dementiastatistics.org/statistics/prevalence-projections-in-the-uk/#:~:text=people%20in%20the%20UK%20will,to%20two%20million%20by%202050.&text=The%20numbers%20of%20people%20with,2025%20and%20146%25%20by%202050.
** Office of the Public Guardian, Get it right the first time – hints and tips to help you complete your LPA application, https://publicguardian.blog.gov.uk/2020/01/10/get-it-right-the-first-time-hints-and-tips-to-help-you-complete-your-lpa-application/