What is an LPA and do you need one?

You might have been hearing the phrase ‘Lasting Power of Attorney’ (LPA) quite frequently recently as the importance of estate planning has been getting more media exposure.

You may not have thought much about it at the time though – presuming that it is irrelevant to you or assuming you don’t need one for x, y or z reason.

Or you may have not thought much about it at all because you don’t actually really know what it’s about.

So let’s take a deep dive into LPA’s.

What is an LPA? Why they are important? And should you consider getting one?

Get your LPA with Octopus Legacy*

Katie’s Summary:
Don’t disregard the importance of future planning.
No matter your age or circumstances, estate planning is a key part of good money management and an LPA (though we hope we never actually NEED it) is essential in ensuring that our loved ones can make decisions on our behalf, if the worst should ever happen.

I am an Octopus Legacy affiliate and as such this post contains affiliate links which if used, will earn me a small commission at no additional cost to you. This post is designed for informational purposes based on my own understanding and research and does not constitute financial advice. Always do your own research.

What is an LPA?

Let’s start with the basics and make sure we actually understand what an LPA is.

An LPA (or Lasting Power of Attorney) is a legal document that lets you choose someone (or multiple people) to make decisions on your behalf if you lose the ability to do so. 

This could be for a whole host of reasons including illness, an accident or age-related conditions like dementia.

There are two types of LPA: Finance & Property, and Health & Welfare. 

Finance & Property covers decisions about your finances – such as paying bills, managing your investments, or selling your home.

– This type of LPA can be used as soon as it’s set up, with your permission 

And Health & Welfare covers decisions about your medical care, living arrangements, and personal welfare.

– This type of LPA can only be used when you’re unable to make your own decisions.

Why do you need an LPA?

So why do you need one?

Understandably many of us hope to never be in the position where an LPA is required.

But life is unpredictable and having an LPA ensures your affairs are handled by someone you trust if you’re ever unable to make decisions yourself.

Without one, your family would have to get a deputyship order via the courts which is a costly and lengthy process that adds stress and causes delays – and let’s be honest, nobody needs any of that additional burden in circumstances which are already likely difficult enough.

Who should have an LPA?

Well – everyone should have one. But there are several reasons why they may not:

• They don’t understand the importance of LPAs or know enough about it for it to be on their agenda.
• They know that they should but perhaps just haven’t gotten round to it yet.
• They’ve made assumptions about who does have decision-making powers so think that they don’t need one.

Did you know that being married or in a civil partnership doesn’t give you the automatic right to make decisions about your partner’s care, health or finances? 

Without an LPA, even your closest family members won’t have the authority to make decisions on your behalf.

They’ll need to go through the Court of Protection to gain permission, which can take months and cost thousands.

It’s especially important to consider an LPA if:

• You own property or significant assets.
• You want to ease the burden on your family in the event of an accident or illness.
• You want to ensure your personal values are upheld in medical or financial decisions.

How do you create an LPA?

There are 3 ways you can create an LPA.

Via the Government Website

You can make your own LPA by visiting the government website.

It’s free to create BUT if you make any errors, your documents may be rejected – which means you’ll have to do the process all over again.

Via a Solicitor

You can arrange for a solicitor to create your LPA. This method ensures it will be done well, first time BUT it can be a very expensive process.

Via Octopus Legacy

Octopus Legacy has 2 types of LPA services*.

• Online LPA Service: with easy-to-navigate online process with on-hand expert support. Your documents are then reviewed by experts which helps minimise the chances of mistakes. You then have to register the forms yourself.
  • Cost: £120 £80 when you complete them along with your will during the free will campaign
  • Doesn’t include the fixed government registration fee (£82 per LPA)         
• Full LPA Service: where they meet with you to understand your wishes before drafting your documents. Once you have signed the forms you send them back to Octopus Legacy and they will review your signed documents and register them with the Office of the Public Guardian for you.  
  • Cost: £499 20% off during the free will campaign
  • Includes the fixed government registration fee (£164) 

How much does it cost?

The cost will depend on which method above you choose.

But once you’ve created your LPA, it costs an additional £82 per document to register it with the Office of Public Guardian.

If your LPA has a mistake or is rejected for any reason, each future submission will cost £41.

If you are on a low income or receive certain means tested benefits, you may be entitled to a discount or reduction.

Why create an LPA with Octopus Legacy?

Getting an LPA can be a tricky legal process – and it requires expertise to get right.

Leading estate planner Octopus Legacy can expertly lead you through the process, and support you every step of the way.

This autumn, Octopus Legacy has partnered with charities across the UK, so that you can write or update your will for free, until October 31st 2025. 

But that’s not all – as a special bonus, they’re offering a discounted Lasting Power of Attorney (LPA) service from just £80 when you create your free will.

Here’s how to get started:

Claim your free will and discounted LPA at this link* .

Want a helping hand? You can also speak with one of their estate planning experts to guide you through the process and answer all your questions.