The thought of losing your capacity to make important life decisions is not something you probably like to dwell on.
Unfortunately, no one can predict the future, and unexpected illness or injury could happen at any time.
As such, it’s crucial to safeguard your physical and financial wellbeing by registering a Lasting Power of Attorney (LPA).
Worryingly, a 2022 Canada Life study revealed that 78% of UK adults don’t have an LPA.
Keep reading to find out how LPAs work and discover three compelling reasons why they’re so important for protecting the wellbeing and financial security of you and your loved ones.
A Lasting Power of Attorney allows you to choose a person who can make decisions on your behalf
An LPA is a legal document that allows you to nominate a person or people you trust to make decisions on your behalf if you become unable to do so.
There are two main types of LPA:
1. Health and welfare – This covers decisions regarding your medical care, your everyday life and wellbeing, and where you live.
2. Property and financial affairs – This includes paying bills, managing funds, collecting benefits or your pension, and making other financial decisions.
You can choose to have one or both types of LPA.
Here are a few key things you should know:
- You must put an LPA in place while you still have mental capacity – In other words, don’t wait until you need one.
- Anyone over 18 can act as your attorney – This includes family and friends; attorneys don’t need legal training. However, you can choose a professional, such as a solicitor, to act as your attorney if you prefer (they may charge a fee).
- You can have as many attorneys as you need – The minimum is one for each LPA. You can choose the same person for both or separate them out.
3 compelling reasons to register a Lasting Power of Attorney now
Whatever your age, health status, or circumstances, it’s essential that you register an LPA sooner rather than later. Here’s why.
1. Take control over important decisions about your health and finances
Making an LPA gives you control over who makes important decisions about your life if you become unable to do so. For example, your attorneys may have the legal authority to say whether you go into a care home or receive life-sustaining medical treatment.
You can also specify any restrictions and guidelines your attorneys must follow to ensure they make decisions in line with your wishes.
In contrast, if you become mentally incapacitated without an LPA in place, you might be vulnerable to coercion. In other words, you could be persuaded to nominate an attorney who you might not have otherwise chosen.
Alternatively, a member of your family might apply to the Court of Protection to act as your “deputy”. Again, this might not be a person you would nominate to act on your behalf. What’s more, this process could delay important decisions about your health and finances.
As such, investing a little time and money to register an LPA now could provide invaluable peace of mind that your wishes will be followed, whatever may happen in the future.
2. Protect your loved ones from unnecessary stress and complications
You can’t assume that those closest to you have the legal authority to make key decisions on your behalf if you don’t have the appropriate paperwork in place.
There’s a common misconception that spouses and civil partners automatically have the legal right to make financial and healthcare decisions for each other. In fact, you must appoint them as an attorney on an LPA to give them the authority to act on your behalf if you lose mental capacity.
Without an LPA, your spouse or civil partner might be unable to access joint bank accounts, pay the mortgage, or make decisions about your day-to-day care. To do so, your loved ones will have to apply to the Court of Protection to act as your deputy.
This can be a costly and slow process. Moreover, your loved ones may feel uncertain about your wishes – who you’d like to act as an attorney, what decisions you’d like them to make, and so on. As such, going through the courts could add pressure and stress for your family at a difficult time.
3. Safeguard your finances against potential fraud attempts
As technology continues to advance, scams are becoming increasingly sophisticated and difficult to spot. According to UK Finance, criminals stole £1.17 billion through payment fraud in 2024.
Having an LPA could provide a valuable safety net by ensuring that people you trust have control over your assets if you’re no longer able to manage them.
Your attorneys have a legal duty to act in your best interests. If they’re monitoring your accounts and other assets, this could reduce the risk of fraud and ensure that it’s spotted early.
Additionally, the Office of the Public Guardian (OPG) monitors attorneys and has the power to investigate any possible coercion or abuse.
Get in touch
If you’d like to find out more about how to safeguard your financial wellbeing and protect your loved ones, we can help.
To learn more, please email hello@sovereign-ifa.co.uk or call us on 01454 416653.
Please note
This article is for general information only and does not constitute advice. The information is aimed at retail clients only.
All information is correct at the time of writing and is subject to change in the future.
The Financial Conduct Authority does not regulate Lasting Powers of Attorney.
Approved by Best Practice IFA Group Ltd on 13/10/25