What is a Lasting Power of Attorney?

A Lasting Power of Attorney (LPA) is a legal document that lets you choose someone you trust to make decisions on your behalf. It is one of the most important documents you can put in place alongside a will, yet many people do not realise it exists until it is too late to make one. Setting up an LPA means there will always be someone who can speak on your behalf and make decisions for you even if you were to have an accident or become ill. Importantly, it can be used if you lose mental capacity and can remain in place as you get older.

The two types of LPA

There are two separate types of Lasting Power of Attorney in England and Wales. You can make one or both, and most people choose to make both at the same time.

Property and Financial Affairs LPA

This gives your chosen attorney the power to manage your money and property on your behalf. That includes things like:

• Paying bills and managing bank accounts
• Dealing with your pension or benefits
• Buying or selling property
• Managing investments and tax affairs

An important point: a Property and Financial Affairs LPA can be used while you still have mental capacity, if you choose to allow this. For example, you might want your attorney to handle your finances if you become physically unwell or are simply abroad for an extended period.

Health and Welfare LPA

This gives your attorney the power to make decisions about your personal welfare. That includes:

• Day-to-day care, such as what you eat and what you wear
• Medical treatment, including whether to consent to or refuse treatment
• Where you live, for example whether you move into a care home
• End-of-life decisions, if you give your attorney this specific authority

Unlike the financial LPA, a Health and Welfare LPA can only be used once you have lost mental capacity. While you can make decisions for yourself, your attorney has no power to override you.

When does an LPA take effect?

An LPA must be registered with the Office of the Public Guardian (OPG) before it can be used. See our guide on how to make an LPA for full details. You can register it as soon as it is signed. You do not have to wait until you lose capacity. In fact, registering early is strongly recommended because the registration process can take several weeks, and if you wait until there is an emergency it may be too late.

A Property and Financial Affairs LPA can be used at any point after registration (if you have allowed this). Most people set it up well before it is actually needed. A Health and Welfare LPA only becomes active when you lack mental capacity to make a particular decision, or your attorney reasonably believes that you do. That is the test in section 11(7) of the Mental Capacity Act 2005. A hospital or care home may still ask for medical evidence in practice. See when your attorneys can act for the choice you make on the financial LPA.

What does it cost?

There are two costs involved. First, there is the cost of preparing the LPA document itself, which depends on whether you use a solicitor or an online service. Second, there is a registration fee of £92 per LPA, paid to the Office of the Public Guardian. If you make both types of LPA, that is £184 in registration fees. People on low incomes or certain benefits may be entitled to a reduced fee or an exemption.

What happens without an LPA?

If you lose mental capacity and have no LPA in place, your family cannot simply step in and manage your affairs. Instead, they would need to apply to the Court of Protection for a "deputyship order." This process is:

• Expensive. Court fees and legal costs can run to over £1,000, and ongoing supervision fees apply each year
• Slow. Applications can take many months to process
• Stressful. Your family must go through a formal court process at an already difficult time
• Out of your control. The court decides who is appointed as your deputy, and it may not be the person you would have chosen

During this time, your bank accounts may be frozen, bills may go unpaid, and your family may struggle to arrange the care you need.

Who can be an attorney?

You can appoint anyone aged 18 or over who has mental capacity. Most people choose a spouse, partner, adult child, or trusted friend. Learn more about choosing attorneys. You can appoint more than one attorney and decide whether they must act together ("jointly"), independently ("jointly and severally"), or together on some decisions and independently on others.

You can also appoint a professional, such as a solicitor, as your attorney, though they will usually charge for their time. It is worth discussing your choice with the person before you appoint them to make sure they are willing to take on the role.

How LPAs relate to wills

An LPA and a will serve different purposes, but they work together as part of your overall planning. For a detailed look at how an LPA differs from a will, see our comparison guide. A will deals with what happens to your assets after you die. An LPA deals with what happens if you are still alive but unable to make decisions for yourself. Neither document replaces the other, and ideally everyone should have both in place. Many people choose to make their LPA at the same time as their will.