As we all live longer, we can sometimes be forced to deal with “reduced capacity”, in other words when your mental ability to deal with our affairs is reduced. Being prepared for this event will ensure your closest relatives are able to help and respect your wishes.
Powers of Attorney
There are two main types of Power of Attorney:
- Property & Financial
- Health & Welfare
Read more about Powers of Attorney here:
https://www.gov.uk/power-of-attorney
https://www.ageuk.org.uk/information-advice/money-legal/legal-issues/power-of-attorney/
https://www.moneyhelper.org.uk/en/family-and-care/long-term-care/setting-up-a-power-of-attorney
At Fortress Wills & Estates, your personal Estate Planner will explain your options and help you decide which (if any) of the Powers you would like to grant. They will take care of the application process and professionally draft all paperwork on your behalf.
​Failing to draft these documents in advance could mean your family being put through a lengthy and costly legal process.
You can choose to grant any one of these powers or both – that’s up to you! By having professionally drafted Powers of Attorney in advance of when they are needed (in other words before your “capacity” is affected) then this will ensure if you are unable to make decisions (due to reduced capacity) then your wishes will be respected.
Powers of Attorney (POA)
A Power of Attorney (POA) is a legal document that lets you choose someone you trust (called an attorney) to make decisions for you if you can’t, or if you want help managing things.
What it’s for
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To make sure your affairs are looked after if you become ill, lose mental capacity, or are unavailable.
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You stay in control by deciding who acts for you and what powers they have.
Types of Power of Attorney (UK)
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Property & Financial Affairs LPA
Lets your attorney manage money, pay bills, deal with banks, and sell property. It can be used while you still have capacity, if you choose.
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Health & Welfare LPA
Lets your attorney make decisions about medical treatment, care, and where you live. It only works if you lose mental capacity.
You can choose to grant either one of the LPA’s or both. Whilst you still have capacity they do not need to be registered. If you lose capacity, the Attorney simply registers them with the Office of Public Guardianship (the OPG) and the powers to act on your behalf are then available.
Key points
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You must set it up while you have mental capacity.
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Attorneys must act in your best interests and follow the law.
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You can place restrictions or give guidance on how your attorney acts.
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It can be cancelled at any time while you have capacity.
Why it’s important
Without a Power of Attorney, family members may need to apply to the court to make decisions for you, which is slower, more expensive, and stressful.
Registered vs Unregistered Power of Attorney (UK)
Unregistered Power of Attorney
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Has not been registered with the Office of the Public Guardian (OPG).
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Cannot be used once the person who made it loses mental capacity.
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Typically applies to old-style Enduring Powers of Attorney (EPAs) (made before Oct 2007) or very limited/temporary powers.
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Banks and institutions may refuse to accept it.
Registered Power of Attorney
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Registered with the OPG, making it officially recognised.
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A Lasting Power of Attorney (LPA) must be registered before it can be used.
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Continues to be valid after loss of mental capacity.
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More widely accepted by banks, care providers, and medical professionals.
In short
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Registration = legal authority after loss of capacity.
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Without registration, an attorney’s powers are limited or may stop entirely.