Enduring Power of Attorney (EPA) vs Lasting Power of Attorney (LPA)

A power of attorney is a document by which one person (the “donor”) gives another person (the “attorney”) the power to act on their behalf and in their name.

Lasting Powers of Attorney (LPAs) were introduced in 2007 by the Mental Capacity Act and replaced the old system of enduring powers of attorney (EPAs). Like the EPA, the LPA remains effective after the donor loses mental capacity.

However, there are some important differences. For example, an EPA can be used prior to registration but must be registered when the donor becomes or is becoming mentally incapable for it to have an ‘enduring’ effect. Conversely, an LPA cannot be used until it is registered but it can be registered as soon as it is executed.

It is not possible to change an existing EPA into an LPA; instead a new separate LPA has to be drawn up and the EPA revoked.

Although EPAs remain valid, there are many advantages in switching to LPA(s) which make them more comprehensive and more flexible:

·        EPA: covers Property and Financial decisions, there is no provision for the donor’s welfare.

·        LPA: can cover Property and Financial decisions and/or Health and Welfare decisions, including decisions about life-sustaining treatment.

·        EPA: where more than one person has been appointed as attorney, all the named people must agree with the decision for it to be actioned.

·        LPA: up to four attorneys can act ‘jointly and severally’ (together or separately) with your permission. You can also allow them to make certain decisions ‘jointly’ while making other decisions ‘jointly and severally’.

·        Replacing your EPA with an LPA gives you the freedom to review, at any time, who you’d like to act on your behalf should you lose the ability to make decisions through illness or injury.

If you have an EPA, consider reviewing your circumstances to confirm you have the correct provisions in place, ultimately ensuring you are looked after in the ways you want to be should the time come.

We can help with this. For a relaxed chat about your plans for your estate, call 0117 3636 212 or email office@haroldstephens.co.uk.