Lasting Power of Attorney

Most people acknowledge that it is important to organise their affairs in the event of their death, which is why making a Will is so important. However, many fail to make similar provisions to organise their affairs should they become unable to look after them themselves during the course of their lifetime. Many people make the assumption LPAs are only required by the elderly.

Under the Mental Capacity Act 2005, individuals can draw up a legal document in England & Wales called a Lasting Power of Attorney (LPA). This document enables the individual (known as a Donor) to appoint a person or persons (known as Attorneys) to look after their affairs in the event of mental and/or physical incapacity, perhaps due to infirmity in old age, illness or accident.

The Lasting Power of Attorney can only be made when someone has mental capacity. It cannot be filled out retrospectively, so delaying the decision to make a LPA could have serious consequences.

There are two types of Lasting Power of Attorney:-

Property and Affairs – this allows you to appoint someone to look after your financial affairs. This can include your property, your bank accounts and related assets.

Personal Welfare – this allows you to appoint someone to look after you and your personal welfare and healthcare.

Just like a Will, an LPA can be updated or cancelled at any time should circumstances change. This is provided that the individual has the capacity to do so.