The Mental Capacity Act 2005 becomes fully implemented with effect from 01 October 2007. Part of the Act introduces changes to the current system of preparing Enduring Powers of Attorney ("EPAs") which are to be replaced by Lasting Powers of Attorney ("LPAs").
What does this mean for me?
The changes do not mean that you cannot currently take steps now to plan for the future. EPAs that are prepared prior to 01 October 2007 wil continue to be valid after that date for use in respect of your financial affairs.
Following 01 October 2007, you can revoke an existing EPA and replace it with an LPA. LPAs are in two parts. One part relates to your property and affairs (similar to an EPA) and one part relates to your personal welfare. You could choose to retain your EPA and simply prepare an LPA, both in relation to your property and affairs and your personal welfare. However, you cannot do this until after 01 October 2007.
Why should I consider preparing an EPA before 01 October 2007?
It is thought likely that LPAa will be somewhat complicated to prepare and the costs involved in preparing these will be much higher than those involved in preparing an EPA. You may, therefore, wish to consider instructing us to prepare an EPA before 01 October 2007.
Alternatively, if you wish to consider preparing an LPA, please contact us and we will provide you with further information.
The members of our Personal Estate Planning Team are:
Kiri O'Connell and Jayne Kesbey.