A lasting power of attorney is a legal document that lets an individual appoint one or more people (known as ‘attorneys’) to make decisions on your behalf in relation to your property and financial affairs and/or your health and welfare matters. Read our guidance for attorneys acting under a lasting power of attorney.

There are two types of power of attorney: 

• Property and financial
• Health and welfare

If you choose to appoint an attorney(s) to manage both your property and financial affairs and health and welfare matters then you will need to prepare two lasting power of attorney (LPA) deeds - even if you are appointing the same attorney(s) in relation to both types of LPA.

It is also possible, in some circumstances, to put two property and financial affairs lasting powers of attorney deeds in place; one relating to your personal finances and property matters and one relating specifically to the running of a business or businesses on your behalf – sometimes called a business LPA. The rules around the use of a business LPA are complex and it is important that both this LPA and your personal finance and property LPA are drafted in such a way that they work together and your attorney’s role is clearly defined or limited as necessary.

Read our guide on things that can and cannot be done under a power of attorney. 

Lasting powers of attorney are so powerful, which is why you must appoint an attorney or attorneys that you trust wholeheartedly to make the right decisions for you. Sometimes, contrary to popular belief, family members such as adult children are not always the appropriate people to appoint in the role. We will happily discuss the practicalities and important points to consider when choosing an attorney with you.

You first need to prepare your lasting power of attorney (LPA) deed, setting out how and when your chosen attorney(s) can act on your behalf. If you wish to appoint an attorney to manage both your property and financial affairs as well as your health and welfare matters, you will need to prepare two separate LPA deeds.

You and your chosen attorney(s) must then sign your LPA deed for it to be valid. Your attorney(s) signs it to confirm that they are happy to accept the role and that they will make any decisions they have to in your best interests and yours alone.

Usually, a solicitor will also sign the LPA deed as your certificate provider. This means they sign the deed to confirm that, in their opinion, you understand the LPA and that you are not under any pressure from third parties to put it in place against your will.

Once the LPA deed has been signed it is valid, but not effective, and cannot be used by your attorney(s) to help you until such time as it has been registered with the Office of the Public Guardian.

As and when your attorney(s) believe they need to begin using the power in your best interests, they need to ensure that third party organisations (such as your bank, utility providers and HM Revenue and Customs) have sight of the registered power of attorney deed and record their legal entitlement to discuss your affairs with them. Often this involves your attorney(s) sending certified copies of the registered deed to the various organisations.

Sometimes your attorney(s) may seek confirmation from a doctor that you have lost or are losing capacity before they will try and step in and act on your behalf. Often a diagnosis of something like Alzheimer’s is the trigger for the attorney(s) to begin preparing to help you.

Although your attorney(s) can make decisions for you, they are obliged to involve you as much as possible in the decision-making process. In the vast majority of cases, you will be able to make some decisions about your affairs yourself, even if you need a little help. If you can then you must be allowed to make those decisions. Regardless, whatever decision is made for you, your attorney(s) must make those decisions based on what they perceive to be in your best interests. They cannot use their authority over your affairs to benefit others.

Your registered health and welfare power of attorney should be noted on your medical records so that if you are admitted to hospital your doctors will be able to determine who they should contact about the care or treatment they intend to give you.

Anyone can witness your signature as the donor (the person setting up the LPA), provided they are over 18, not an attorney or a replacement attorney (or employed by one of your attorneys or replacement attorneys).

When your attorney(s) or replacement attorney(s) sign the deed, again anyone over the age of 18 can witness their signature, except you as the donor. This does mean that attorneys or replacement attorneys can witness each other’s signatures.

In order to avoid any allegation or suspicion of impropriety, however, we would recommend that someone entirely independent from the process acts as a witness if possible – such as a friend or neighbour.