Whilst you may not think you ever will, the simple answer to this question is yes.
In my view, people generally consider that Powers of Attorney are only really used for the ‘elderly’ who may not be able to make decisions in the imminent future. I would argue against this; no matter your age, a Power of Attorney should be in place. What if you had an accident and were unable to make any decisions? You have young children, the accounts are in your name, and your spouse needs access to money to live from or possibly pay health costs. Without a Power of Attorney, this would be a long and expensive process.
This is one of many scenarios where a Power of Attorney would help in what can be very distressing times. As I meet more new clients, I find that fewer people have considered putting one in place. I regularly speak to clients about arranging one, but it often slips down their list of priorities.
What Is a Power of Attorney?
In summary, it is a legal document that allows an individual (or individuals) to make decisions for you or to act on your behalf. This could be because you are no longer able to, or no longer want to, make your own decisions. It can be used whether the individual has capacity or not; this is decided when the attorney is established.
There are currently two types of Lasting Power of Attorney (LPA):
- Property and Financial Affairs – this lets an attorney manage all your financial affairs (this can include dealing with your bank accounts, paying bills, and buying and selling property).
- Health and Welfare – this lets an attorney make decisions about your health, care and welfare (this can include what medical treatment you have and whether you move into a care home).
It is important to consider who you are asking to be your attorney, as they could have control over how your money is spent and where you live. You do not have to select both types; you can have one or the other (or both).
The misunderstanding is that a Power of Attorney is expensive to set up with legal fees involved. In reality, you can obtain the relevant forms for a Power of Attorney online via the government website for the Office of the Public Guardian. You do not need to consult a solicitor, although taking professional advice can help to avoid any future problems.
Once the forms are completed, they must be registered with the Office of the Public Guardian, which can take up to 10 weeks, and only then can the LPA be used. In 2026, it costs £82 to register each LPA.
If a Power of Attorney is not appointed and an individual loses capacity, generally an application will need to be made to the Court of Protection, which currently costs £421. Depending on the outcome, the total cost can move into the thousands, so putting a Power of Attorney in place can save a lot of time, hassle and expense.
Whilst this is a whistle-stop tour of Powers of Attorney, and there are other aspects that need to be considered, it shows that everyone should consider putting a Power of Attorney in place and that doing so is not overly expensive.
At Wingate, we recommend a Power of Attorney is put in place together with an up-to-date Will. This can make life so much easier for those having to deal with a distressing and stressful situation and may help to make things a little easier.
If you are looking to the future and want to build a financial plan, please contact me to see how we can help you. We offer a holistic planning approach to take account of your overall financial situation and the goals you wish to fulfil.
