None of us wants to imagine a time when we might not be able to make our own decisions, but planning ahead can make all the difference.
Setting up a power of attorney early can help you avoid delays, court involvement and unnecessary stress for family members later on.
In this guide, we explain the different types of power of attorney, how to put one in place, what it costs and what could happen if you don’t have one set up.
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What is a power of attorney?
A good example of when a POA might be needed is when a frail parent chooses to give power of attorney to their children or a trusted advisor. If they’re worried they may lose the mental capacity to make their own decisions about finances, health or property, having a POA in place means someone they trust can step in and help.
For many people, the idea of handing over this level of control can feel daunting. But a power of attorney is really about ensuring your wishes – about your finances and health and wellbeing – are carried out by people you trust. It also helps protect your family from uncertainty and unnecessary difficulty later on.
You decide who you trust and set out the limits of what they can and can’t do. It only comes into effect when you want or need it to.
Key terms to know
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Donor
The person making the power of attorney.
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Attorney
The trusted person or people given the authority to act (in this context, the term “attorney” does not apply to a legal professional). This could be a spouse, son or daughter, family friend, or trusted adviser.
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Mental capacity
The ability to understand and make decisions yourself.
What are the different types of power of attorney?
There are two different types of power of attorney and we explain both here, so you can learn about each one before you decide which is right for you.
Until 2007 there was an enduring power of attorney, but it has been replaced by the two we explain below. An enduring power of attorney is still valid should someone still have one, but it only covers finance and property decisions.
Lasting power of attorney (LPA)
An LPA is designed to allow someone you trust to make decisions on your behalf for the rest of your life, if you’re no longer able to make them yourself.
There are two types of LPA: one for property and financial affairs and another covering health and welfare [1]. In most cases, an LPA is used once you’ve lost the ability to make decisions. However, a property and financial affairs LPA can be used as soon as it’s registered, if you choose to allow this.
Here’s a simple breakdown of the two types. You can set up one or both, depending on what feels right for you.:
Property and financial affairs LPA
This covers decisions about money and property, such as:
- Selling your home
- Paying your mortgage
- Managing or investing money
- Paying bills
- Arranging repairs to a property
Health and welfare LPA
This covers decisions about your health and personal care. It can only be used once you have lost mental capacity. This includes:
- Where you live (for example moving into a care home)
- What medical treatment you receive
- Day to day matters, such as what you eat or wear
To set up an LPA, you must have the mental capacity to do so and be making the decision freely, without pressure from others.
Our guide to setting up a power of attorney for a parent living with dementia contains guidance to help you through this process. You can also find more resources to support you on our dementia hub.
Ordinary power of attorney (OPA)
The second type is an ordinary power of attorney (OPA), sometimes called a general power of attorney (GPA). Unlike a lasting power of attorney, an OPA is only valid while you still have mental capacity.
It is usually used for temporary situations, for example if you’re in hospital, or spending time abroad and need someone to manage your finances at home.
An OPA can also be limited to particular tasks, such as dealing with one particular bank account, but not affairs relating to their home. An OPA does not need to be registered with the Office of the Public Guardian.
How much does it cost to set up a power of attorney?
You can apply for a power of attorney through the GOV.UK website. A lasting power of attorney must be registered with the Office of the Public Guardian before it is valid.
The fee for registering the LPA is currently £92 per application and the process typically takes between eight and ten weeks. If you’re setting up both types of LPA (one for property and financial affairs and one for health and welfare), the total cost will be £184.
If you use a professional (such as a solicitor) to help you prepare your documents, there may be an additional fee on top of that.
If your income is below £12,000 per year, or you are on income support or benefits, you may be eligible for a reduced fee [4].
There’s no fee for an ordinary power of attorney, as it does not need to be officially registered.
However, it’s generally only suitable for limited, temporary circumstances. There may be a cost attached if you ask a solicitor to draft the document for you.
If you'd like to understand the financial side of setting up and managing an LPA in more detail, we've put together a dedicated guide to walk you through it.
You can also listen to our podcast episode featuring financial wellbeing expert and author Jason Butler.
How do I write a power of attorney?
You can set up a POA yourself via the GOV.UK website and you don’t have to use a solicitor if you don’t want to. That said, getting professional help can reduce the risk of problems further down the line. It’s important that the documents are filled in correctly, as there is a a fee each time you submit them, so mistakes end up costing you more. For peace of mind, you might consider using a solicitor or a reputable organisation such as Which? to avoid any mistakes.
Which? gives you the option to work from a template, with specialist support available if you need it. Your application is reviewed before it is finalised.
Go to Which? for upto 30% off Which? Power of Attorney premium service including printed copies delivered to you.
What happens if there is no power of attorney?
Some people may lack the mental capacity to make their own decisions about their care and treatment [5].
If this happens and they haven’t set up a power of attorney (and the decision isn’t one that can be made on an informal basis), the matter can be referred to the Court of Protection [6]. The court may either choose to make the decision itself, or appoint someone else, known as a “deputy”, to act on the person’s behalf.
Deputies are required to report regularly to the Office of the Public Guardian and the Court of Protection will charge an application fee and ongoing supervision fees to cover the cost of the deputy’s work.
This can be stressful for family members, with additional costs and a lengthy process to follow. Deputies can be appointed for property and financial matters and in some cases for health and welfare decisions, too. If there is no health and welfare LPA in place then social services will usually be responsible for making decisions on behalf of the person who has lost capacity.
Find out everything that you need to know about what happens when there is no power of attorney in our Guide to the Court of Protection.
Final thoughts
It might be tempting to put off arranging a power of attorney, but it can be invaluable if someone is unable to manage their own affairs, whether due to loss of mental capacity, physical illness, or disability. Setting one up gives you the confidence that your wishes will be respected and that people you trust will be able to act on your behalf. For your family, it removed uncertainty and avoids the stress of legal complications at an already stressful time.
But you don’t have to face it alone: there are helpful resources and websites, listed below, that can guide you through every step. Most importantly, it’s key to remember that taking action now mean you (and not the courts or social services) remain in control of what happens in the future.
For all those out there whose parents are not too bad at this time, I advise – if not already in place – that you get your parents to set up their LPA (lasting power of attorney), for both finance and health and wellbeing. It will be there for when the time is needed and without it, it's a nightmare all round!
FAQs
Can more than one person be made an attorney?
Yes, it is common to assign multiple attorneys. This can be helpful as the attorneys can work together to make decisions. The donor will have to state in the LPA forms whether they want their attorneys to make decisions jointly or not.
Can an LPA be cancelled by the donor?
If they still have the mental capacity, then an LPA can be cancelled by the donor. To do this, they need to sign a deed of revocation. A person may do this if they no longer trust the nominated attorney to manage their affairs, or if their nominated attorney is no longer a practical choice e.g. they may have moved to another country.
Can an LPA be cancelled by the attorney?
Yes, an attorney can cancel a lasting power of attorney. This is sometimes referred to as "revoking attorneyship". To do so, they need to complete an LPA005 form, and inform the other attorneys.
Someone may do this because their relationship with the donor has changed, or they no longer feel as though they are in a position to act as their attorney due to changes in their own circumstances.
When does an LPA end?
If the LPA is not cancelled, the LPA ends when the donor dies. At this point, the appointed attorneys can no longer make decisions on their behalf. Responsibility for managing the estate of the deceased passes over to the executors of the will (often the same people).
- GOV.UK, 'Make, register or end a lasting power of attorney'.
- Citizens Advice, 'Managing affairs for someone else'.
- GOV.UK, ‘Your questions answered: Completing forms', February 2024.
- GOV.UK, ‘Applying for a reduced fee for your power of attorney', February 2026.
- NHS, 'Mental Capacity Act', January 2024.
- Court of Protection Handbook, 'A basic guide to the Court of Protection', July 2020.
What to do next
- Decide which type of POA you need: property and financial affairs, health and welfare, or both.
- Choose one or more attorneys you trust to act in your best interests.
- Apply online via the GOV.UK website and allow time for registration.
- Consider professional help if your situation is complex or family relationships are strained.
- Store your registered LPA safely and let your attorneys know how to access it.
Setting up power of attorney for a parent living with dementia | Ideally, you want to start setting up a lasting power of attorney for someone with dementia as soon as possible. Find out everything you need to know here.
