What is a Property & Financial Affairs Lasting Power of Attorney?
A Property & Financial Affairs LPA lets you choose who can manage your money, property, and financial affairs if you need help now or lose mental capacity later.
Contact Health & Welfare FAQs Enduring Power of Attorney FAQs No LPA: Court of Protection
When can a Property & Financial Affairs LPA be used?
It can be used:
- With your permission, while you still have mental capacity, or
- Automatically, if you lose mental capacity – so many people think, but it isn’t quite that simple. If a decision is vital and urgent, it can usually be taken straight away. If it is NOT, then the attorneys must consider the possibility of delaying it, just in case you improve and are able to make it yourself. In all cases, reasonable efforts should be made to assist you to make he decision yourself if it is possible. In an emergency, that won’t always be possible but you need to look at the rest of these FAQs for the one BIG problem.
This flexibility is unique to this type of LPA.
What decisions does a Property & Financial Affairs LPA cover?
It can cover:
- Bank and building society accounts
- Paying bills and managing finances
- Pensions and benefits
- Buying, selling, or renting property
- Dealing with tax matters
Can my attorney use the LPA before I lose capacity?
Yes, if you allow it when creating the document, and then confirm it later when you wish it to be used..
You decide whether it can be used immediately or only if you lose capacity.
Can my attorney sell my house?
Yes, if:
- The LPA is registered, and
- There are no restrictions preventing it
Some situations may require additional safeguards.
Can my attorney access my bank accounts?
Yes. Once the LPA is registered, banks must recognise your attorney’s authority.
Does a Property & Financial LPA cover business interests?
It can, but business matters often need specific wording.
This should be considered carefully at the outset.
Can I restrict what my attorney can do?
Yes. You can:
- Limit certain powers
- Give guidance or preferences
- Appoint more than one attorney
Restrictions must be practical and legally workable.
Do I lose control when I make this LPA?
No. While you have mental capacity, you remain in control and can override your attorneys.
If I make an LPA, do I still need to manage my finances?
Yes—unless and until you decide to let your attorney take over. Having an LPA doesn’t hand over power immediately. You stay in full control for as long as you’re able. Think of it as an insurance policy for your independence.
Can LPAs be used in business?
Absolutely. If you’re a sole trader, director, or partner, a Business LPA is a must. It allows someone to handle payroll, authorise payments, or make key decisions if you’re incapacitated. Without it, your business could grind to a halt at exactly the wrong moment.
Can I exclude someone from having any say in my care or finances?
Yes, to an extent. You choose your attorneys, and no one else has legal authority unless they’re appointed by the Court of Protection. You can also leave clear guidance in the LPA to prevent unwanted interference from specific individuals, which attorneys can show to professionals if needed.
Can my attorney be held accountable in court?
Yes—if they misuse funds, fail to act in your best interests, or neglect their duties, they could face legal consequences. This includes repayment of misused money, removal from the role, or even prosecution in serious cases.
Can I limit how much money my attorney can access?
You can include restrictions—but they must be practical and clear. For example, “no single transaction over £5,000 without consulting [someone]” is possible, but be careful not to tie your attorney’s hands in a crisis. We’ll help get the balance right.
Can I include funeral wishes in my LPA?
You can—but strictly speaking, funeral wishes belong in your Will. LPAs only cover decisions while you’re alive. However, you can add guidance in your Health & Welfare LPA to say things like “I would prefer not to be resuscitated if the quality of life would be minimal,” which may influence palliative care.
What happens if I don’t have a Property & Financial LPA?
Without one:
- Bank accounts may be frozen
- Bills may go unpaid
- Property transactions can be blocked
- Family members cannot step in automatically
An application may be needed to the Court of Protection.
Is a Property & Financial LPA better than a joint bank account?
Yes. Joint accounts are limited and will generally be frozen if one party loses the ability to make decisions. One lady I know of spent 3 months with no money for food or anything else whilst we arranged and urgent LPA – the bank insisted that being in a Nursing Home automatically meant they had lost capacity, unless we could arrange for him to be taken to the bank for an interview.
An LPA offers broader authority and legal protection.
Can I cancel a Property & Financial LPA?
Yes, as long as you still have mental capacity.
Can I have more than one attorney?
Yes. You can appoint:
- One attorney
- Multiple attorneys jointly
- Multiple attorneys jointly and severally
Each option has different practical effects.
When should I make a Property & Financial LPA?
As soon as possible after your 18th birthday. And review it as life develops – no one wants the Court of Protection to run their life.
Accidents, illness, or sudden incapacity can happen at any age.