The cost of setting up a Lasting Power of Attorney (LPA) in the UK depends on where the document is made. It's important to consider the LPA cost when planning your estate.
In the UK, there are two types of LPA: one for Health and Welfare, and another for Property and Financial Affairs.
Fortunately, both types of LPA typically cost the same, and it’s 100% possible to set these up on a budget - especially thanks to online services such as Aatos, which guide you through the entire process seamlessly.
What Costs Are Involved in Setting Up an LPA?
- Registration Fees: The Office of the Public Guardian (OPG) in the UK charges a fee to register each LPA. Currently, the cost is £82 per LPA, meaning if you decide to set up both a Health and Welfare LPA and a Financial Matters LPA, the two types, the total registration cost will be £164. It's important to budget for these fees as part of the LPA process, however, it’s also worth noting that there are some reductions or exemptions available depending on your income or benefits.
- Advisor Fees: While it's possible to complete an LPA without professional help, many people opt for the guidance of a solicitor or professional advisor. The cost for this service can vary widely depending on the complexity of your wishes and the advisor's rates. On average, you might expect to pay between £200 and £1,000 for professional advice regarding setting up an LPA, although fees can be higher for more complex situations.
- Drafting Fees: You can draft an LPA for free on the gov.uk website, but this can be challenging if you’re not used to the process. For this reason, many people opt to use an online LPA service or a solicitor to help them complete their LPA. Legal tech companies typically charge between £90 - £120 per LPA, with solicitors typically charging between £150 and £500 per LPA.
- Other Associated Expenses: Beyond the registration fee, potential advisor costs, and potential drafting fee, there may be additional expenses to consider. These could include notary fees if you need to certify documents, or medical assessment fees if a professional evaluation of your ability to make decisions is required as part of the LPA setup process.
Read more: How to Register an LPA in the UK?
Tailored and Legally Valid LPA at an Affordable Price
When choosing Aatos for only £99, you'll receive a tailored LPA as well as a Last Will.
We'll also provide an ongoing legal support, possibility to update legal documents without extra charge and provide a home delivery.
Try and test our service out for free!
Tips for Managing LPA Costs
Managing the costs of creating a Lasting Power of Attorney (LPA) doesn't have to be daunting. Here are some practical tips to keep expenses manageable while ensuring your LPA is correctly set up:
- DIY Options: The Office of the Public Guardian provides resources and guidance for those wishing to complete an LPA on their own. Provided your situation is not complex, you can save on solicitor fees by following the step-by-step instructions available on their website.
- Seeking Affordable Legal Advice: Look for legal advisors or solicitors offering fixed-rate packages for LPA creation. Some law firms might also provide free initial consultations, which can help you understand your needs better without a financial commitment.
- Using Online Services: Several online platforms, like Aatos, offer guided LPA creation services at a fraction of traditional law firm costs. Aatos walks you through the process of drafting and setting up your LPA, ensuring all legal requirements are met. Remember to choose a service with positive reviews and a clear pricing structure.
Read more: Lasting Power of Attorney Online: Exploring Your Options
Seeking Professional Guidance
While saving on your LPA cost is important, making sure that your LPA accurately reflects your wishes is non-negotiable.
If your estate or wishes are complex, involving multiple properties, businesses, or specific healthcare instructions, professional advice is a smart idea to ensure your LPA is correctly drafted - even though the cost of your LPA will increase because of this need for advice.
Additionally, if there's potential for family disputes, a professional can help mitigate future conflicts. The cost of drafting an LPA with a solicitor is always higher, but, if family disputes are a risk, this comparatively small extra investment could save you time, stress and money in the future.
When choosing a solicitor or advisor, ask about their experience with LPAs, specifically within Health and Welfare and Property and Financial Affairs. Agree all possible fees upfront to avoid surprises.
How Much Does an LPA Cost?
Generally, the cost of one LPA in the UK is between £82 for the registration fee alone (if you choose the DIY route) to upwards of £500 - the average cost of an LPA with a solicitor.
It’s important to balance the need to keep costs low with the complexity of your situation and why you need the LPA. Ensuring that your LPA is legally valid and expresses your wishes correctly is always the most important consideration.
