Enduring Power of Attorney

Enduring Power of Attorney (EPA) is being replaced from 1st October 2007 by Lasting Powers of Attorney (LPA). To provide maximum protection for yourself and loved ones, EPAs must be taken out before this deadline passes.

Enduring Power of Attorney?

An Enduring Power of Attorney (EPA) is a legal document that enables you ("the Donor") to hand over responsibility to someone else ("Attorneys") to manage your financial affairs and property, either now or in the future. It is likened to an insurance policy which we pay into just in case it is needed in the future. EPA's are put in place to protect you in the future should you lose physical or mental capacity to deal with your affairs.

What is changing?

EPAs are being replaced by Lasting Power of Attorney (LPAs) under the Mental Health Act 2005, which is finally due to come into force in October 2007. From that date it will not longer be possible to create a new EPA, although it will still be possible to register an existing EPA with the office of the public guardian.

What are the differences between EPAs and LPAs?

One of the major differences is that EPAs only cover property and financial affairs whereas LPAs can also cover personal welfare which includes issues relating to health and medical care.

With LPA you can name different attorneys to make different kinds of decisions

Why make an EPA before the 1st October 2007?

The rules relating to LPAs will cover a more comprehensive regime for looking after an individual's affairs. The application forms will be lengthy and require a lot of detail. As a result our charges in preparing the LPA forms are likely to be significantly more than our current charges for preparing an EPA, which are £123.38 (incl. VAT).

Furthermore, you will be required to register the LPA shortly after you have signed the forms. The fees for registering an LPA will be more than if you are registering an EPA. The LPA fees are likely to be £150 per application. So if you are applying to the office of the public guardian to register two LPAs, one for financial affairs and the other for personal welfare, they are treated as two separate applications and the registration fees alone will be £300. Therefore for a couple the Court fees can be up to £600. Whereas from 1 October 2007, the registration fees for EPAs will be £125.

For many clients the EPA is the preferred tried and tested method which will immediately protect your interests. Therefore the most sensible option is to set up an EPA before the 1st October 2007 which will deal with your financial affairs. Then if after the 1 October 2007 you decide you want additional protection relating to welfare issues then you can put in place an LPA simply covering this issue. This will run along side your existing EPA.

Enduring Power of Attorney