Lasting Power of At­torney Prop­erty and Fin­an­cial Af­fairs

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Catrin, UK Solicitor
06/05/2024 ● 3 minutes
There may come a time when you're not able to look after your fin­an­cial af­fairs for yourself, whet­h­er that's due to ill health or a pro­longed ab­sence from the coun­try, and that's where an LPA for Prop­erty and Fin­an­cial Af­fairs steps in.

This guide breaks down how to set up a Lasting Power of At­torney (LPA) for Prop­erty and Fin­an­cial Af­fairs, in­clud­ing choos­ing an at­torney, filling out and re­gis­ter­ing the form, and un­der­stand­ing legal es­sen­tials to ensure it's valid and ef­fect­ive.

This art­icle is your road­map to un­der­stand­ing and cre­at­ing a Lasting Power of At­torney for Prop­erty and Fin­an­cial Af­fairs, so that you can con­fid­ently secure your fin­an­cial future.

What is a Lasting Power for Prop­erty and Fin­an­cial Af­fairs?

Let’s start with the basics: what is a Lasting Power of At­torney for Prop­erty and Fin­an­cial Af­fairs?

This is a way to leg­ally au­thor­ise someone you trust to handle your money and prop­erty and pay bills if you're unable to manage these tasks yourself.

This ar­range­ment en­sures your fin­an­cial mat­ters and prop­erty are taken care of ac­cording to your wishes.

Read more: How to Use a Lasting Power of At­torney?

Do You Need LPA for Only Prop­erty and Fin­an­cial Af­fairs but Also for Health and Wel­fare?

You can do both at Aatos. Simply answer to a few ques­tions and the ser­vice will gen­er­ate tail­ored LPAs for you.

Ready in 10 minutes! Down­load im­me­di­ately!

Lasting Power of At­torney for Prop­erty and Fin­an­cial Af­fairs Offers Peace of Mind

Having an LPA for Prop­erty and Fin­an­cial Af­fairs offers peace of mind by en­sur­ing your fin­ances and prop­erty are man­aged ef­fect­ively.

With an LPA for Prop­erty and Fin­an­cial Af­fairs the At­torney can:

  • Manage Bank Ac­coun­ts: Op­er­at­ing your bank and sav­ings ac­coun­ts, in­clud­ing with­draw­ing money, paying bills, and man­aging in­vest­ments.
  • Pay Bills and Ex­penses: Hand­ling house­hold ex­penses, medical costs, in­sur­ance premi­ums, and other reg­u­lar pay­ments.
  • Invest Money: Making or chan­ging in­vest­ments to help grow your estate or gen­er­ate income ac­cording to the guidelines you've set.
  • Buy or Sell Prop­erty: Making de­cisions about pur­chas­ing a new prop­erty or selling one you own. This can in­clude your primary res­id­ence if not re­stric­ted.
  • Rent and Lease: Man­aging any rental prop­er­ties, in­clud­ing col­lect­ing rent, hand­ling leases, and in­ter­act­ing with ten­ants.
  • Main­tain Assets: Over­see­ing the main­ten­ance and repair of your prop­er­ties and other sig­ni­fic­ant assets.
  • Handle Tax Af­fairs: Com­plet­ing and sub­mit­ting your tax re­turns, and man­aging com­mu­nic­a­tions with tax au­thor­it­ies.
  • Plan Estate: Im­ple­ment­ing or up­dat­ing your estate plan­ning strategies in line with your fin­an­cial goals and family needs.
  • Rep­res­ent Leg­ally: Acting on your behalf in legal mat­ters that per­tain to your fin­an­cial and prop­erty in­terests.

The Pro­cess of Cre­at­ing an LPA for Prop­erty and Fin­an­cial Af­fairs

⚠️ Please note, this guide is spe­cific­ally de­signed for nav­ig­at­ing the LPA pro­cess within the UK legal system.

  1. Down­load the LP1F form from the UK gov­ern­ment web­site: You can down­load it the LP1F from.
  2. De­cid­ing on an At­torney: Choos­ing the right at­torney for the LPA is one of the most im­port­ant de­cisions you can make. Look for someone trust­worthy, fin­an­cially savvy, and who un­der­stands your wishes. It could be a family member, a close friend, or a pro­fes­sion­al ad­visor. The at­tor­neys must be at least 18 years old and not bank­rupt or sub­ject to a Debt Relief Order.
  3. Com­plet­ing the LPA Form: Filling out the LPA doc­u­ment can be straight­for­ward but re­quires at­ten­tion to detail. Start by gath­er­ing all ne­ces­sary in­form­a­tion about your assets. The form will guide you through ap­point­ing your at­torney(s), spe­cify­ing what they can and can't do, and how you want them to work to­geth­er if there is more than one.
  4. Sign­ing and Wit­ness­ing: Once filled in, you and your at­torney need to sign the doc­u­ment in the pres­ence of a wit­ness. This wit­ness can be anyone over 18, as long as they aren’t named in the LPA. The doc­u­ment needs to be signed with a pen (not a pencil).
  5. Cer­ti­fic­ate Provider: The LPA also needs to be signed by a cer­ti­fic­ate provider to con­firm that no one is for­cing you to make the LPA and you un­der­stand what you’re doing. This is someone that has known you for over 2 years (such as a friend or col­league) or a pro­fes­sion­al (such as a doctor or lawyer).
  6. Pay the fee: After every­one has signed, pay the rel­ev­ant fee out­lined in the LP1F Form (cur­rently £82 per LPA).
  7. Re­gis­ter­ing with the Office of the Public Guardi­an: Post your LPA to the Office of the Public Guardi­an for re­gis­tra­tion. Re­mem­ber, your LPA won't be valid until it's re­gistered.

Read more: What is an LPA Ac­tiv­a­tion Key?

For your LPA for fin­ance to be valid, it must meet cer­tain legal stand­ards:

  • Form­al­ity: The LPA must be com­pleted using the cor­rect form provided by the Office of the Public Guardi­an.
  • Re­gis­tra­tion: The LPA must be re­gistered with the Office of the Public Guardi­an before it can be used. This in­volves sub­mit­ting the com­pleted form along with the re­gis­tra­tion fee.
  • Full Dis­clos­ure: You need to provide com­plete and ac­cur­ate in­form­a­tion about your fin­ances.
  • Vol­un­tary Agree­ment: It must be clear that you're set­ting up the LPA of your own free will, without pres­sure from anyone. There­fore, it needs to be prop­erly wit­nessed as well as duly signed by a cer­ti­fic­ate provider.
  • Clear In­struc­tions: If you add spe­cif­ic in­struc­tions you want your at­torney to follow you need to ensure these are clear.

En­sur­ing your LPA meets these cri­ter­ia will make it ef­fect­ive and en­force­able, provid­ing solid ground­work for man­aging your prop­erty and fin­an­cial af­fairs ac­cording to your wishes.

💡 If you want to be sure that your LPA is leg­ally valid but you find the pa­per­work too com­plex, Aatos is about to launch a UK LPA ser­vice to hold your hand through the entire pro­cess. So, keep your eyes peeled for this ex­cit­ing de­vel­op­ment!

How to Change or Cancel an LPA for Prop­erty and Fin­an­cial Af­fairs?

In the UK, you can change or cancel a Lasting Power of At­torney (LPA) for prop­erty and fin­an­cial af­fairs as long as you have the mental ca­pa­city to do so.

To make changes, you can either add re­stric­tions or re­place an at­torney by com­plet­ing the rel­ev­ant forms provided by the Office of the Public Guardi­an (OPG).

To fully cancel your LPA, you must send a writ­ten notice called a 'deed of re­voc­a­tion' to the OPG and inform all ap­poin­ted at­tor­neys about the can­cel­la­tion. It’s im­port­ant to ensure that these steps are car­ried out cor­rectly to make the changes leg­ally bind­ing.

How To Make Changes to LPA?

In the UK, you'll need to follow spe­cif­ic steps out­lined by the Office of the Public Guardi­an to make changes to your LPA.

However, do note that it is not pos­sible to add a new at­torney to an ex­isting LPA. This will re­quire a new LPA to be made.

Also, once you've lost mental ca­pa­city, you cannot make changes to your LPA. This is be­cause the abil­ity to un­der­stand the nature and effect of the LPA, as well as the powers being granted to at­tor­neys, is ne­ces­sary to make changes.

If your Power of At­torney has come into effect but you do not be­lieve that your at­torney is acting in your best in­terests, you can con­tact the OPG with your con­cerns.

Amend­ing an LP1F steps:

  • Check the Ex­isting LPA: Review the ex­isting LP1F to see if it allows you to make minor amend­ments. Some LPAs in­clude clauses that allow for simple changes without re­voc­a­tion. For ex­ample, you may need to update a name or ad­dress of someone listed in the LPA. To do so, you need to post the up­dated de­tails to the OPG.
  • Do not change the LPA itself as this will in­val­id­ate it.
  • Com­plete a New Form if Ne­ces­sary: If your ex­isting LPA doesn't allow for amend­ments, or you want to add a dif­fer­ent at­torney, you will need to com­plete a new LP1F form with the de­sired changes. To bring your new LPA into effect, it's es­sen­tial to re­gister it with the OPG, fol­low­ing the same pro­cess as you did for your ini­tial LPA.

⚠️ Im­port­ant: Cre­at­ing and re­gis­ter­ing a new LPA does not auto­mat­ic­ally revoke the old one. You need to take spe­cif­ic steps to cancel the pre­vi­ous LPA.

How to Cancel Your LPA?

If you've de­cided that you no longer re­quire or want your ex­isting fin­ance LPA, you can go through the pro­cess of re­vok­ing it.

Re­vok­ing the LPA Steps:

  • Com­plete a Deed of Re­voc­a­tion: Use the fol­low­ing word­ing for the deed of re­voc­a­tion. Re­place the words in the square brack­ets with the rel­ev­ant de­tails:

Deed of re­voc­a­tion

This deed of re­voc­a­tion is made by [your name] of [your ad­dress].

1: I granted a lasting power of at­torney for prop­erty and fin­an­cial af­fairs/health and wel­fare (delete as ap­pro­pri­ate) on [date you signed the lasting power of at­torney] ap­point­ing [name of first at­torney] of [ad­dress of first at­torney] and [name of second at­torney] of [ad­dress of second at­torney] to act as my at­torney(s).

2: I revoke the lasting power of at­torney and the au­thor­ity granted by it.

Signed and de­livered as a deed [your sig­na­ture]
Date signed [date]
Wit­nessed by [sig­na­ture of wit­ness]
Full name of wit­ness [name of wit­ness]
Ad­dress of wit­ness [ad­dress of wit­ness].

  • Notify Rel­ev­ant Parties: Notify the at­tor­neys named in the ori­gin­al LPA, as well as any other rel­ev­ant parties, that the LPA is being re­voked. You may need to provide them with a copy of the re­voc­a­tion deed. 
  • Submit the Form to the OPG: Send the com­pleted re­voc­a­tion form to the OPG for re­gis­tra­tion. There may be a fee as­so­ci­ated with re­vok­ing the LPA. You should also keep a copy of the re­voc­a­tion deed for your re­cords.

It’s es­sen­tial to follow these steps care­fully to ensure that the re­voc­a­tion of your LPA is leg­ally valid and prop­erly doc­u­mented. If you're unsure about the pro­cess or have any ques­tions, con­sider seek­ing advice from a legal pro­fes­sion­al or con­tact­ing the OPG for guid­ance.

Caring for Your Future with an LPA

Set­ting up a fin­an­cial LPA is a pro­act­ive step to­wards se­cur­ing your fin­an­cial future.

By care­fully com­plet­ing the LP1F gov­ern­ment form, en­sur­ing that it’s been signed cor­rectly and then re­gistered, you ensure that your prop­erty and fin­ances are man­aged ac­cording to your wishes, of­fer­ing peace of mind to both you and your loved ones.

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