Lasting Powers of Attorney (“LPAs”) can be created at any time and by anyone over the age of 18 years old. Having registered LPAs in place enables Attorneys to start making decisions for a person when they no longer can. But LPAs can only be made while a person has mental capacity, what happens if they lose capacity without making LPA?
All is not lost as the Court of Protection can grant Deputyship Orders to friends and family of persons who have lost their mental capacity. Those who are appointed as deputies can make the similar health and financial decisions as those who are appointed as Attorneys in LPAs.
If a person wishes to become a Deputy, an application to the Court of Protection is required. Prospective deputies can either apply to manage a person’s property and financial affairs, personal welfare or both and more than one Deputy can be appointed.
How is an application to become a Deputy different from an LPA?
The main and important distinction is that Deputyship applications are applied after someone loses mental capacity, whereas LPAs are created before.
Applications to become a Deputy are also proposed and brought to Court by the prospective Deputy themselves. This is not the case in an LPA application where it is the Donor (the person making the LPA) who decides who they want to appoint as an attorney.
There is also an increase in costs when applying to become a Deputy. The initial application fee is £371 and if the Court of Protection decides that your application requires a hearing, there is also an additional fee of £494. Unlike with LPAs, once the Court has appointed a Deputy, there are ongoing supervisory fees which must be paid each year. For those persons who wish to become a property and financial affair Deputy, the Court may also require the Deputy to obtain what is known as a Security Bond which is a type of insurance to protect a person’s finances from the actions of a rogue deputies.
Once the Court has granted the order appointing a Deputy, the order will specify what the Deputy can or cannot do when acting for another. The Deputy will also undergo continuous supervision from the Office of the Public Guardian and a yearly report must be submitted which explains what decisions that Deputy made for that person and why it was in their best interests. For deputies who manage financial decisions, evidence of the person’s accounts must also be included in the report.
Applications to the Court of Protection may appear daunting to some, but our experienced Private Client team at Bendles are here to help guide you through the process and ensure your application is completed as quickly as possible. To learn more about becoming a Deputy for a loved one, please contact our Private Client team.
Article written by Liam Mulholland
