At Cohen Knights LLP, Norwich, we strongly advise clients to consider making both types of Lasting Power of Attorney (LPA):

1. Property and Financial Affairs
2. Health and Welfare

An LPA allows you to appoint trusted individuals (your “attorneys”) to make decisions on your behalf, always acting in your best interests. Importantly, LPAs must be registered with the Office of the Public Guardian (OPG) before they can be used.

Property and Financial Affairs 

The Property and Financial Affairs LPA is particularly important as it covers your property, savings, investments, and day-to-day financial matters. Once registered, it can be used immediately if required, although many clients choose to keep it in reserve unless circumstances change. Having this document in place ensures that, should you need help in the future due to age, illness, or reduced mobility, your chosen attorney can step in to assist you. They will be able to manage your bank accounts, deal with utility providers, and even handle insurance claims on your behalf, making the practical aspects of life easier to manage.

Health and Welfare

The Health and Welfare LPA deals with more personal matters relating to your care and wellbeing. Unlike the financial LPA, this only comes into effect if you lose mental capacity.

At that stage, your attorney is empowered to make decisions about where you live, the medical treatment you receive, and your day-to-day care. This means your attorneys can speak on your behalf to local authorities, social services, and the NHS, ensuring that your wishes are respected and upheld even when you are unable to express them yourself.

Your Attorneys

Choosing the right attorney is a vital part of the process. You must carefully consider whether your proposed attorneys are trustworthy, reliable, and capable of handling sometimes complex and emotional responsibilities. If you are appointing more than one person, such as your children, it is important to reflect on whether they will be able to work together effectively. Attorneys must be comfortable dealing with money, paperwork, and, at times, difficult health decisions. If you have any doubts about their suitability, you may wish to consider alternative choices. 

Certificate Provider 

Before an LPA can be registered, a certificate provider must confirm that you understand the document and that you are making it of your own free will. This role can be carried out by a lawyer (at Cohen Knights) or alternatively by a friend or neighbour who has known you for at least two years. 

Registration

Once completed, your LPA must be registered with the OPG before it becomes valid. The cost of registration is currently £82 per LPA, meaning that a couple making both types of LPA will pay a total of £328. However, there are fee reductions available. If your annual income is below £12,000 and you do not pay income tax, you may qualify for a 50% reduction. In addition, if you receive certain means-tested benefits, such as the guaranteed element of Pension Credit, you may be entitled to a full exemption from the registration fee.

It is worth noting that the OPG is currently experiencing significant delays, with registrations taking around 12 weeks to process. This makes it all the more important to plan ahead and make your application in good time. 

Using Cohen Knights LLP 

While it is possible to prepare LPAs without legal assistance, using a professional advisor offers significant advantages. At Cohen Knights LLP, we provide guidance on choosing the most suitable attorneys, act as your certificate provider, and ensure that your application is completed correctly to avoid rejection. We can also include additional provisions tailored to your circumstances, such as ensuring the continued use of discretionary wealth management schemes where investments are involved.  By using us, you can be confident that your wishes are properly safeguarded and that your affairs will be managed smoothly should the need arise.