This article is for general guidance only and is not financial or professional advice. Any links are for your own information, and do not constitute any form of recommendation by Saga. You should not solely rely on this information to make any decisions, and consider seeking independent professional advice. All figures and information in this article are correct at the time of publishing, but laws, entitlements, tax treatments and allowances may change in the future.
More than 50,000 lasting power of attorney applications were rejected in the 2023-24 financial year, resulting in frustration, delay, and additional cost. And with it currently taking eight to 10 weeks for the Office of the Public Guardian (OPG) to process an application, it’s important to get it right first time.
Sarah Coles, Head of Personal Finance at the investment platform Hargreaves Lansdown, which gained the figures from a Freedom of Information request, says: “Drawing up and registering a Lasting Power of Attorney can make an enormous difference for you and your loved ones if an accident or medical condition means you’re unable to make decisions for yourself. However, this is only true if your application succeeds, and the Ministry of Justice says more than 50,000 of them failed in the most recent financial year.”
What is lasting power of attorney?
Lasting power of attorney is a legal document that grants other people the ability to manage your affairs if you aren’t able to. Sarah Coles explains: “An LPA names someone, or a group of people, who will make decisions on your behalf if you’re no longer able to, perhaps if you develop dementia or another illness that affects your decision making,” she says.
It’s important not to leave it too late, as it will no longer be possible to make an application if you don’t have the mental capacity. There are two type of LPA: one covers health and welfare, the other property and financial affairs.
To help you avoid rejection, these are some of the most common mistakes that people make when applying for an LPA.
Applications can be kicked out if you get the wrong people to witness signatures, or to be a certificate provider.
The certificate provider cannot be related to, or employed by, either the person who the LPA is for, or the person who is becoming the attorney. They can either be someone who has known the donor well for at least two years, or a relevant professional such as a GP, solicitor or social worker.
The witnesses must be over 18 and they must witness the signatures in person, not online. Shaun Moore, Tax and Financial Planning Expert at Quilter, explains: “An attorney cannot witness the signature of a donor, or vice versa, as there is a conflict of interest.”
“One of the common mistakes is people not signing and dating the LPA in the right order,” explains Dale Shimwell, Private Client Director at Hugh Jones Solicitors.
“The person who the LPA is for, known as the donor, must sign first, then the certificate provider, who confirms the donor has mental capacity, and then the attorneys, who are the people who will step in to make decisions on the donor’s behalf.”
An LPA is a legal document so it’s essential that everyone’s full name is used throughout. “An LPA can be rejected if a witness leaves off a middle name or an attorney only puts their initials,” says Louise Lewis, Partner at law firm Freeths.
The OPG will also reject an LPA if there’s any information missing. This could be addresses and dates of birth or it could be skipping an entire section. “Sometimes people don’t fully understand the section on how they want their attorneys to act so they leave it blank,” adds Coles. “This leads to rejection.”
It might feel like a trip back to school but poor handwriting can mean your form’s returned. “I’ve seen applications rejected where the handwriting made the date look like the 32nd of the month,” says Lewis. “It’s a simple but frustrating mistake to make.”
Crossing out a mistake or reaching for the Tipp-Ex isn’t enough to get your LPA over the line either. “Mistakes need to be initialled by the person who made them and their witness,” explains Shimwell.
As your LPA will affect the way your affairs are looked after, clarity is essential. Lewis says that if anything is open to interpretation or confusing, the OPG will reject it. “It might be specifying assets that you can’t give power of attorney over, such as a jointly owned business, or confusion around whether your attorneys take decisions together or separately,” she explains. “It might even be something illegal, like requesting your attorneys end your life.”
Getting the documentation right gives peace of mind but it also saves time and money. If an application is rejected, you may have to pay an additional fee. While some of the smaller mistakes, such as typos or missing signatures, can be fixed for free within three months, others require a fee of £41, on top of the original registration fee of £82.
Further fees are annoying but in some cases the delay in registering an LPA is the real issue. “We see people who don’t think about an LPA until they’re aware they’re struggling,” says Moore. “You must have mental capacity when an LPA is drafted: if it’s rejected and needs rewriting, there’s a risk that it’ll be too late. It’s best to be organised and get one in place while you can, even if you never need it.”
If someone does lose capacity without an LPA, you will need to go to the Court of Protection to apply to be a deputy to be able to make decisions on their behalf. “This is more expensive, with an application fee of £408 plus a supervision fee every year, plus it can take anything from three months to a year to get appointed,” says Lewis. “It’s much simpler to sort an LPA while you can.”
With more than 50,000 rejections, it can be tempting to hand your LPA over to your solicitor, but this may not be necessary. Moore says that, although the forms are lengthy, they are designed to be easy to complete. “You could complete the forms online and, although you’ll still need to print them out for the signatures, any potential issues such as missing information or mistakes will be highlighted so you can amend them before you submit your application,” he adds.
The Office of the Public Guardian website contains plenty of useful information too. This can help you when you’re completing your forms, or if you need to use your LPA in the future. It's also important to note that, while there a total of 50,918 LPAs rejected in 2023/24, these only represent 3.7% of the 1.37m applications submitted that year.
Moore adds, however, that it may be worth seeking legal advice if your situation, or the conditions you want, are complicated. “Asking a professional to write your LPA will give you the confidence and certainty that it’s right,” he says.
You will pay a fee for this service. These vary between firms, with discounts often available if you apply for both the health and welfare and the property and financial affairs LPAs, or if you and your partner put them in place at the same time.
Lasting power of attorney support from Saga Legal
Saga Legal has partnered with Co-op Legal Services, who provide regulated legal services, helping to ensure you have the right level of support and protection for yourself and your family. Co-op Legal Services offer fixed fee services for making LPAs which means you don't have to worry about any hidden costs. They can help you to put an LPA in place from £354, with guidance and support throughout.
Find out more
We’ll help you appoint a person you trust, who can make choices for you if you’re not able to.
.jpg?la=en&h=354&w=616&hash=EF7D69971E6E84DBFACB50DA190CC405)
After an inquiry into will-writing services, we explain how you can avoid getting ripped off.
Don’t let a generous gift turn into a tax trap for your family – here’s what you need to know.
From their first savings account to their first home, find out how your gifts can make the biggest impact for your grandchildren
.jpg)