Dementia and Lasting Powers of Attorney: Why Planning Ahead Matters
With dementia statistics greatly on the incline, many clients get in touch asking when they should set up a lasting power of attorney (LPA) and also enquiring how having dementia can affect the process. Is it still worth trying to put an LPA in place once dementia has already been diagnosed?
What is dementia?
The word dementia is used as an umbrella term for a group of conditions that affect the brain. These cause a progressive decline in memory, thinking, and the ability to do daily activities. It is more common in older people; however, it is not considered ‘normal’ in regard to the ageing process. Common signs of dementia can include memory loss, issues with planning, difficulty with language, and changes in mood and/or behaviour.
Dementia encompasses several conditions:
- Alzheimer’s
- Vascular
- Lewy body
- Frontotemporal
- Other, such as Huntington’s or Parkinson’s
- Mixed
How many people have been diagnosed with dementia?
Dementia is considered to be one of the most pressing medical challenges of our time. The number of diagnoses continues to rise due to an ageing population, and according to Alzheimer’s Research UK, 982,000 people are living with dementia in the UK, with this figure estimated to reach one million by 2040.
As dementia progressively affects functionality and behaviour, over time, this increases the difficulty of managing everyday tasks; therefore, it’s essential to future-proof with a Lasting Power of Attorney.
What is a Lasting Power of Attorney?
A Lasting Power of Attorney, often abbreviated to LPA, is a legal document that fulfils a person’s (“donor”) wishes to allow another (“attorney”) to make decisions on their behalf, in such cases, for example, where capacity is lost due to late-stage dementia.
There are two options to consider, but both can be used:
- Property and financial affairs LPA – covering finance and property matters
- Health and welfare LPA – covering medical
It’s important to note that the attorney may use the property and affairs LPA while the person with dementia still has capacity, under their agreement; however, the health and welfare LPA can only be used when the person lacks capacity, and a formal capacity assessment should be carried out first. Upon planning, attorneys should be reliable and willing to take on the responsibility and work well with any co-attorneys.
Once a Lasting Power of Attorney is registered, this can be used immediately with the individual’s permission.
Can an LPA be set up if there has already been a dementia diagnosis?
LPAs can be set up after a dementia diagnosis, but only if the individual still has the capacity to fully understand the documents and also sign them. They will require a capacity assessment, which will confirm if the individual is able to make and understand the decisions made.
The assessment will provide an overview of the capacity, distinguishing the ability to form and make everyday decisions to the more advanced matters, such as managing finances. Following this, a GP or healthcare professional will be able to provide formal documentation to prove capacity and protect the legal documents from future challenges.
What if they are not deemed to have capacity?
If it is felt their capacity has diminished, then an LPA will not be possible. To plan a Lasting Power of Attorney, the person must have testamentary capacity, meaning they can understand:
- What an LPA is and the decisions that the Attorneys will be able to make,
- Use this information to make an informed decision about whether to make the LPA; and
- Be able to communicate their decision either by speech, sign language, in writing or by some other method.
Without a Lasting Power of Attorney in place, families or individuals could face various challenges such as:
- Reduced financial access: Banks may likely freeze singular and joint accounts if the account holder loses capacity and no LPA is in place, causing challenges for families covering household affairs.
- Restricted healthcare decisions: Medical professionals may be unable to consult family members about treatment options.
- Property challenges: Selling a home to fund care becomes impossible without the legal authority to do so.
In this instance, families and individuals would be required to opt for the more costly and stressful process of applying to the Court of Protection for deputyship.
How can GA Solicitors help?
As no two dementia diagnoses are the same, the progression of the disease varies significantly from person to person. Early detection and planning is crucial. Acting sooner ensures the individual’s wishes are respected, and the risk of future disputes is significantly reduced.
Putting in place an LPA before any diagnosis or signs of dementia makes the process much smoother, less stressful and more cost-effective.
GA Solicitors is a Dementia Friendly Business (Dementia Friends) accredited by the Alzheimer’s Society. We were awarded this status following extensive training to the entire firm, covering the effects and progression of dementia, and best practices for supporting clients living with the condition.
Our wills, trust and probate solicitors in Plymouth understand the sensitivity required when dealing with dementia-related legal matters and will guide you through the process with compassion and expertise, ensuring your wishes are protected and your future is secure.
Get in touch with our team today on 01752 203500 or email enquiries@GAsolicitors.com to see how we can help.
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