The key difference: An LPA is set up by the person themselves while they still have mental capacity. Deputyship is applied for by someone else after the person has lost capacity. LPA is planning ahead; deputyship is the backup when no planning was done.
Quick Comparison
| Feature | LPA | Deputyship |
|---|---|---|
| Who creates it? | The person themselves | Someone else (family/friend) |
| When can it be made? | While person has capacity | After capacity is lost |
| Cost to set up | £82 per LPA (registration) | £371+ (court application) |
| Ongoing costs | None | Annual supervision fee (£320) |
| Time to set up | 8-12 weeks | 4-6 months typically |
| Court involvement | No (just OPG registration) | Yes (Court of Protection) |
| Who chooses? | The person chooses their attorney | Court approves the deputy |
Lasting Power of Attorney (LPA)
What is it?
An LPA is a legal document that lets you (the donor) appoint someone you trust (the attorney) to make decisions on your behalf. You must have mental capacity when you make it.
Two Types
- Property and Financial Affairs: Managing money, bills, property
- Health and Welfare: Medical treatment, care, daily life
Advantages of LPA
- You choose: You pick who manages your affairs
- Cheaper: £82 per LPA vs £371+ for deputyship
- Faster: 8-12 weeks vs 4-6 months
- No annual fees: One-off registration cost
- Less oversight: More flexibility for your attorney
- Your instructions: You can set conditions and preferences
The Catch
You must make an LPA while you still have mental capacity. Once capacity is lost, it's too late.
Court of Protection Deputyship
What is it?
If someone loses mental capacity without having an LPA, a family member or friend must apply to the Court of Protection to become their "deputy." The court grants legal authority to manage affairs.
Types of Deputy
- Property and Affairs Deputy: Most common - handles finances
- Personal Welfare Deputy: Rare - only granted when ongoing decisions needed
The Deputyship Process
- Complete COP1 application form
- Get a COP3 assessment of capacity
- Pay the £371 application fee
- Notify family members
- Court reviews and may hold a hearing
- If approved, court issues deputyship order
- Pay for a security bond
- Register with OPG
Ongoing Requirements
- Annual report: Submit financial accounts to OPG
- Supervision fee: £320 per year
- Security bond: Insurance policy (cost varies)
- Court approval: May need for major decisions
Deputyship Costs Breakdown
| Cost | Amount |
|---|---|
| Court application fee | £371 |
| Solicitor fees (if used) | £1,000 - £3,000 |
| Annual supervision fee | £320/year |
| Security bond (annual) | £100 - £500/year |
| Total first year | £1,800 - £4,000+ |
Compare this to £82-164 for LPA registration.
When Do You Need Each?
You Need LPA If:
- You want to plan ahead while you have capacity
- You want to choose who manages your affairs
- You want to save your family time, money, and stress
- You want to set specific instructions and preferences
You Need Deputyship If:
- Someone has already lost capacity
- No LPA was set up in advance
- There's no other way to manage their affairs
Frequently Asked Questions
Can I set up LPA for my parent who has dementia?
Only if they still have enough capacity to understand what an LPA is and can make the decision themselves. If capacity is fully lost, you'll need deputyship.
What if there's no LPA and no one applies for deputyship?
Banks may freeze accounts, bills won't get paid, and important decisions can't be made. This can leave vulnerable people without proper care.
Can the court refuse a deputyship application?
Yes, if there are concerns about the proposed deputy's suitability or if there's disagreement within the family.
How long does LPA last compared to deputyship?
Both last until the person dies. LPA can also end if cancelled by the donor (while they have capacity). Deputyship ends if the court revokes it.