People wishing to plan ahead for what should happen if ill health means they can no longer make life-affecting decisions for themselves now have a new set of options to help them.

The Mental Capacity Act, effective from 1st October, replaces the old Enduring Power of Attorney (EPAs) with the new Lasting Power of Attorney (LPAs). They may sound very similar but there are several key differences.

EPAs allowed you nominate someone, known as your attorney, who could manage your property and financial affairs should failing health make it impossible for you to do so yourself.

The new LPAs are broader in scope and come in two forms. The property and finance LPA is similar to the old system in that it allows you appoint attorneys to look after financial matters.  People with complicated investments will be able to lay down specific instructions as to how they want their financial affairs to be managed.

The personal welfare LPA opens up completely new options by allowing you to appoint attorneys who can make decisions about your future health care. You can even stipulate whether or not you should be given life-saving treatment.

Your instructions will be honoured as long as they are in writing, signed and witnessed. If the decision applies to the refusal of life-saving treatment then there must also be a statement that it stands even if your life is at risk. You can choose both LPAs or just select the one that suits you most.

Lasting powers of attorney have to be registered at the Office of the Public Guardian. This will make them more expensive than EPAs which didn’t have to be registered unless a person lost capacity and the powers of attorney needed to come into effect. However, registration will make LPAs more secure and so possibly more attractive to some people.

When similar changes to powers of attorney were introduced in Scotland in 2001, the take-up rose from 5,000 a year to more than 22,000.

The wider scope of LPAs will hopefully encourage more people to plan for their future.  Research by the insurance company Standard Life shows that three out of four people have made no arrangements as to what should happen if they lose the capacity to make important decisions.  This could cause huge problems for them and their families.

EPAs will no longer be available after 1st October although those already made will still be recognised and remain effective.

We are happy to offer advice on the new lasting powers of attorney. Please contact us if you would like more information.