Lasting Powers of Attorney

Lasting powers of attorney and why planning ahead gives you more control

Most people understand the importance of making a will. Far fewer realise there is another legal document that can be just as important during your lifetime.

A lasting power of attorney (LPA) allows you to decide who would make decisions on your behalf if there ever came a time when you were unable to make those decisions yourself. It is one of the most effective ways to protect your interests, reduce uncertainty for your family and ensure your wishes are respected.

Putting an LPA in place is not about expecting the worst. It is about planning ahead whilst you have the opportunity to make your own choices.

What is a Lasting Power of Attorney?

A lasting power of attorney 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 lose mental capacity or, in some cases, if you simply want support managing your affairs.

There are two legal types of lasting power of attorney in England and Wales. One covers your property and financial affairs. The other covers your health and welfare. Many people choose to have both in place so that every aspect of their future is protected.

Property and Financial Decisions

A Property and Financial Affairs LPA allows your attorneys to help manage your money and assets.

Depending on your wishes, they may be able to:

• Manage bank and savings accounts.
• Pay household bills and regular expenses.
• Buy or sell property.
• Deal with pensions and investments.
• Handle tax matters and other financial obligations.

With your permission, this type of LPA can be used whilst you still have mental capacity with your consent, making it useful if you would like practical support managing your affairs.

Health and Care Decisions

A Health and Welfare LPA only comes into effect if you lose the mental capacity to make decisions yourself.

It allows your chosen attorneys to make decisions about matters such as:

• Medical treatment.
• Care arrangements.
• Where you live.
• Your daily routine and personal welfare.
• Life sustaining treatment, if you choose to give that authority.

Having these decisions made by someone you know and trust can provide reassurance for both you and your family during difficult circumstances.

What about business owners?

If you own or run a business, it is worth thinking beyond your personal finances.

Your Property and Financial Affairs LPA can be tailored to include your business interests. Alternatively, business owners can choose to have a separate Property and Financial Affairs LPA dealing specifically with business matters, allowing different attorneys with the appropriate commercial experience to make decisions relating to the business if needed.

This can help protect the continuity of your business and avoid disruption if you become unable to act.

Who should you choose as your attorneys?

Your attorneys should be people you trust completely. They may be family members, close friends or professionals, depending on your circumstances.

You can appoint more than one attorney and decide whether they should act together or independently. The right arrangement will depend on your family, finances and personal preferences.

Why should you put a Lasting Power of Attorney in place now?

Many people assume that their spouse, civil partner or adult children could automatically make decisions on their behalf if they became seriously ill or lost mental capacity. Unfortunately, this is not the case.

Without a lasting power of attorney, your loved ones may need to apply to the Court of Protection for authority to manage your affairs. This process can take many months, involve additional cost and create unnecessary stress during an already difficult time.

Creating an LPA whilst you are well and able to make your own decisions means you remain in control of who would act for you and how they should do so.

Planning with confidence

A lasting power of attorney is one of the most valuable steps you can take to protect yourself.

At Laurus, our Legacy team provides clear, practical advice, helping you prepare lasting powers of attorney that reflect your wishes and give you confidence for the future.

If you would like to discuss putting a lasting power of attorney in place, please contact our Legacy team.