Power of Attorney

There are different types of Power of Attorney, and the right option depends on your circumstances.

• An Ordinary Power of Attorney is generally used for temporary situations. For example, it may help if you are abroad, in hospital, or otherwise unable to deal with financial matters yourself for a period of time; however, it only works while you still have mental capacity.
• An Enduring Power of Attorney, or EPA, was the system used before Lasting Powers of Attorney were introduced. Although it is no longer possible to make a new EPA, an existing EPA may still be valid if it was signed before 1 October 2007. EPAs only cover property and financial affairs, not health and welfare decisions.
• A Lasting Power of Attorney (LPA) is now the main document for long-term planning. There are two types of LPA: one for property and financial affairs, and one for health and welfare. Provided it has been completed and registered correctly, an LPA can continue to be used if you lose mental capacity.

Many people assume that their spouse, partner, or children will automatically be able to make decisions for them if they become unwell or lose capacity, but in practice, that is not usually the case. A Lasting Power of Attorney (LPA) allows you to:

• choose who should act for you
• decide what powers they should have
• make arrangements for your finances, property, care and welfare
• reduce the risk of disputes or uncertainty
• avoid the need for a more costly and time-consuming court process later on

This is not just about later-life planning; an LPA can be important for anyone who wants to ensure their affairs can be managed if something unexpected happens.

There are two separate types of LPA, and many people choose to put both in place, so they are fully covered should their circumstances suddenly change.

Property and Financial Affairs LPA

This allows your attorney to deal with matters such as:

• managing bank and building society accounts
• paying bills and household expenses
• dealing with pensions, benefits and tax matters
• buying, selling or managing property
• handling investments and other financial decisions

This type of LPA can usually be used once it has been registered, even while you still have capacity, unless you choose to restrict that.

Health and Welfare LPA

This allows your attorney to make decisions about your personal welfare if you lose mental capacity, including:

• medical treatment
• care arrangements
• daily routine and living arrangements
• moving into a care home
• decisions about life-sustaining treatment, if you choose to give that authority

Unlike a financial LPA, a Health and Welfare LPA can only be used once you no longer have the capacity to make those decisions yourself.

If you lose capacity without a valid Lasting Power of Attorney, your family does not automatically have authority to deal with your affairs. This can lead to delay, extra paperwork, additional cost and less control over who is able to act for you.

Planning ahead with an LPA helps you retain control over your future and reduces stress for those around you if your circumstances change.

One of the most important parts of making an LPA is deciding who you want to appoint. This should be someone you trust to act in your best interests and manage decisions responsibly. Depending on your circumstances, you may choose:

• one attorney
• more than one attorney acting together
• more than one attorney acting together and independently
• different attorneys for different roles

You can also include guidance or restrictions, depending on how much flexibility or control you want to build in. For example, some people are comfortable allowing broad powers, while others want to limit decision-making in particular areas.

At TLW Solicitors, we can help you put the right Powers of Attorney in place clearly and properly, so that your wishes are recorded, and your chosen attorneys can act when needed.

We can assist with:

• preparing Property and Financial Affairs LPAs
• preparing Health and Welfare LPAs
• advising on the differences between the two
• helping you choose attorneys and structure decision-making
• advising on restrictions, guidance and practical issues
• supporting registration through the Office of the Public Guardian
• advising on related matters such as Wills, Trusts and lifetime estate planning, Court of Protection issues and Deputyships

Our aim is to protect your interests and make future decisions easier for your loved ones.