Powers of Attorney and Court of Protection – FAQ

Are there different types of powers of attorney?

There are five main types of powers of attorney. These are general powers of attorney, enduring powers of attorney, lasting powers of attorney for property and financial affairs, lasting powers of attorney for health and welfare and business powers of attorney.

What is a general power of attorney?

A general power of attorney allows you to appoint a person to act on your behalf, usually in relation to a specific event or for a specific period. For example, to deal with one particular bank account whilst you are on holiday. A general power of attorney is very quick and easy to set up, however, professional advice must be taken before entering into this.

What is a lasting power of attorney?  (LPA)

A lasting power of attorney is a document that gives an attorney the legal authority to act on your behalf and make decisions. You can appoint more than one person to act for you and choose replacements to step in, should your originally chosen attorney(s) be unable to act.

There are two types of LPAs, one related to financial matters and the other related to health matters.

The property and financial affairs LPA allows your attorney(s) to make decisions about your finances, whether it’s paying bills, collecting any income, selling your property, etc.

The health and welfare LPA allows your attorney(s) to make decisions about your welfare, including where you should live, what type of care you should receive and deal with consent to medical treatment. Your attorney can only act under a health and welfare LPA if you lack mental capacity.

What is an enduring power of attorney?

An enduring power of attorney has been replaced by the lasting power of attorney and it is no longer possible to make one. However, any EPAs made before the 1st of October 2007 are still valid.

An EPA acts similarly to the new property & financial affairs LPA, by allowing your chosen attorney(s) to act on your behalf in making decisions.

EPAs did not have to be formally registered unless the person is deemed to be losing or has lost mental capacity.

What is a business power of attorney?

A business power of attorney can be beneficial to have, to ensure that if you are ill, injured or out of the country and unable to deal with your business, someone else can step in and make decisions on your behalf.

Due to the law surrounding what happens when a company director loses mental capacity, you must seek advice on the impacts and problems that can arise and ensure that you have things in place to protect you and your business.

What happens if I cannot deal with my affairs and don’t have a power of attorney?

Without a power of attorney, nobody has the legal authority to assist you. Under data protection laws, nobody can access your bank account, deal with paying your bills or any other financial matters, which can result in red letters coming to your door. The only way someone could take over your financial affairs at that stage would be by applying to the court of protection for a deputyship order.

What is a deputyship order?

A deputyship order is an order from the court authorising someone to make decisions on behalf of a mentally incapable person.

Who can apply to be a deputy?

A deputy must be over 18 years old and is usually a close family member but can also be a friend or a professional, such as a solicitor. Being a deputy is a vital role and many legal formalities, duties and obligations must be followed. It is essential to seek professional advice before taking on the role of deputy.

For any more information, contact our wills and probate solicitors:

Sheffield solicitors: 0114 272 1884

Doncaster solicitors: 01302 341 414

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