Lasting Power of Attorney - LPA
Lasting Power
of Attorney
(LPA) Explained
A Lasting Power of Attorney lets you appoint someone you trust to make decisions about your finances, property, health or welfare. Discover how an LPA works, what it costs and how to arrange one.
Bank accounts, bills, property and financial decisions.
Care arrangements, treatment and personal wellbeing.
What is a Lasting Power of Attorney?
A Lasting Power of Attorney (LPA) is a legal document in England and Wales that allows you to appoint one or more trusted people, known as attorneys, to make decisions on your behalf.
It can cover your property and financial affairs, your health and welfare, or both. You must be at least 18 and have the mental capacity to make an LPA. It must be registered with the Office of the Public Guardian before it can be used.
An LPA helps you plan ahead for illness, accidents or circumstances where you may need someone else to manage important decisions.
The two types of Lasting Power of Attorney
In England and Wales, there are two separate LPAs. Each covers different decisions and requires its own registration.
Property and Financial Affairs LPA
Allows your attorney to help manage your finances, property and other financial responsibilities.
- Managing bank and savings accounts
- Paying bills and household expenses
- Managing pensions and benefits
- Dealing with investments and property
- Handling tax returns and HMRC correspondence
When can it be used?
Once registered, either with your permission while you have capacity, or only when you lack capacity, depending on the option selected.
Health and Welfare LPA
Allows your attorney to make certain decisions about your personal care and medical treatment.
- Medical treatment and care decisions
- Residential care arrangements
- Daily routines and personal welfare
- Where you should live
- Life-sustaining treatment, if authorised
When can it be used?
Only when you lack mental capacity to make the particular decision yourself.
| Feature | Financial LPA | Health LPA |
|---|---|---|
| Bank accounts and bills | Yes | No |
| Property transactions | Yes | No |
| Tax and investments | Yes | No |
| Medical and care decisions | No | Yes |
| Can be used while donor has capacity | Yes, if authorised and with permission | No |
| Separate registration required | Yes | Yes |
Many people choose both types to cover financial and personal welfare decisions comprehensively.
How much does a Lasting Power of Attorney cost?
The Office of the Public Guardian charges a separate registration fee for each LPA in England and Wales.
Financial or Health
Government registration fee for one type of LPA.
Complete LPA Coverage
Combined government registration fees for one financial and one health LPA.
Income-Based Reduction
A 50% fee reduction may be available if your gross annual income is below £12,000. Certain qualifying benefits may provide a full exemption.
How to make and register a Lasting Power of Attorney
You can prepare an LPA yourself using the official online service or paper forms. Professional legal advice may be helpful where family arrangements or finances are complex.
Choose the type of LPA
Decide whether you need financial, health and welfare, or both types of authority.
Appoint your attorneys
Choose trustworthy people and consider replacement attorneys if someone can no longer act.
Complete the application
Use the official online service or paper forms. Specify relevant preferences and instructions.
Sign and certify
The donor, certificate provider, attorneys and witnesses must complete the required signatures in the correct order.
Submit for registration
Send the completed documents to the Office of the Public Guardian and pay the applicable fee. Notify any people named to be told.
Receive your registered LPA
Once registered, the document can be used subject to its terms and the rules governing the relevant type of LPA.
Who can be an attorney under an LPA?
An attorney is someone you appoint to make decisions within the powers granted by your LPA. They must be at least 18 and should be capable of handling the responsibilities involved.
Who might you appoint?
- Your spouse or civil partner
- An adult child or relative
- A trusted friend
- A suitable professional attorney
- Replacement attorneys as a safeguard
Additional eligibility restrictions apply to financial attorneys, including rules relating to bankruptcy and debt relief orders.
How can multiple attorneys act?
Jointly: Attorneys must make the relevant decisions together.
Jointly and severally: Attorneys can act together or independently.
Jointly for some decisions: You can require joint decisions for specified matters and allow independent action for others.
Choosing the arrangement carefully helps avoid practical difficulties if an attorney becomes unavailable.
What responsibilities does an attorney have?
Attorneys must follow the Mental Capacity Act principles, act in the donor's best interests when making decisions for them, respect valid instructions and keep appropriate records. Financial attorneys should keep the donor's money separate from their own, subject to existing joint arrangements.
Lasting Power of Attorney for financial affairs: tax and accounting considerations
For families managing savings, rental properties, investments or business interests, a financial LPA can be particularly important.
Tax and HMRC responsibilities
A financial attorney may need to arrange or oversee:
- Self Assessment tax returns
- Income from pensions and investments
- Rental property income and expenses
- Capital Gains Tax reporting
- HMRC correspondence and payments
An LPA does not automatically give an attorney access to every HMRC online service. Additional authorisation and identity checks may be required.
Property and business interests
Special consideration may be needed where the donor:
- Owns investment or rental property
- Has substantial investments
- Is a company director or shareholder
- Has complex estate or inheritance tax planning
- Owns assets jointly with other people
An LPA does not automatically transfer a director's corporate office or override company law and constitutional restrictions. Specialist legal advice may be required.
Related guidance: Personal Allowance · Gifts and Capital Gains Tax · Self Assessment Tax Returns
What happens if you lose mental capacity without an LPA?
Your spouse, partner or adult children do not automatically obtain general authority to manage your finances simply because they are related to you.
With a registered LPA
- You have selected the people you trust
- Your instructions and preferences are recorded
- Attorneys can act within their legal authority
- Financial affairs can be managed more smoothly
Without an LPA
- Family members may lack the authority needed
- Banks may restrict access to accounts
- Important decisions may be delayed
- A Court of Protection deputyship application may be necessary
If the person has already lost the capacity required to make an LPA, they cannot create a new one. A deputyship application or another appropriate legal arrangement may be needed.
Common Lasting Power of Attorney mistakes to avoid
Leaving it too late
The donor must have the necessary mental capacity when making the LPA. Waiting until a crisis may remove this option.
Choosing unsuitable attorneys
Consider trustworthiness, financial competence, availability and potential conflicts of interest.
Incorrect signatures
Signing errors, missing witnesses and incorrect sequencing can cause registration problems.
Overly restrictive instructions
Unclear or contradictory wording can make the document difficult to use or lead to rejection.
Failing to register
An LPA must be registered before an attorney can use it to make decisions.
Assuming one covers everything
Financial and health decisions require separate LPAs. Consider whether both are appropriate.
Lasting Power of Attorney vs other legal arrangements
| Arrangement | Main purpose | Important distinction |
|---|---|---|
| Lasting Power of Attorney | Appoints attorneys for future or current financial assistance and/or future welfare decisions | Made while the donor has capacity and registered before use |
| Enduring Power of Attorney | Older authority for financial affairs | Existing valid EPAs made before October 2007 may still be used |
| Deputyship | Court-appointed decision-maker | May be needed when someone lacks capacity and has no suitable existing authority |
| Will | Deals with an estate after death | An LPA ends when the donor dies |
| Ordinary Power of Attorney | Authority for specified financial matters | Generally cannot continue when the donor loses mental capacity |
Geographical scope: This guide explains LPAs under the law of England and Wales. Scotland and Northern Ireland have different power of attorney arrangements. Cross-border assets and arrangements may require specialist advice.
Lasting Power of Attorney FAQs
Can I make a Lasting Power of Attorney without a solicitor?
Can I make a Lasting Power of Attorney online?
Does a Lasting Power of Attorney override a will?
Can an LPA be used before someone loses mental capacity?
Does a spouse automatically have power of attorney?
Can someone with dementia make a Lasting Power of Attorney?
Can a Lasting Power of Attorney be changed or cancelled?
Can an attorney sell the donor's house?
Can an attorney give away money or property?
What happens if an attorney misuses their powers?
Can I have more than one attorney?
How do banks verify a registered LPA?
Need help managing tax and financial affairs?
If you are acting as an attorney for someone with property, investments, rental income or Self Assessment obligations, professional accounting support can help you understand and manage the associated tax responsibilities.
We provide UK accountancy and tax services. For drafting LPAs, capacity disputes or legal questions about attorney powers, consult a suitably qualified legal professional.
Contact Our Accountants → View Accountancy Fees →Official sources and further reading
- GOV.UK – Lasting Power of Attorney overview
- GOV.UK – Registration fees and timescales
- Office of the Public Guardian – Forms and guidance
- GOV.UK – Responsibilities of attorneys
Guide reviewed: October 2026. England and Wales only. Government fees and procedures may change. This article provides general information, not individual legal advice.