Power of Attorney and Dementia UK (2026): LPA, Capacity & Court of Protection
Updated 13 May 2026 · 9 min read · England & Wales
A Lasting Power of Attorney (LPA) must be made before dementia permanently removes mental capacity. Once capacity is lost, it is legally too late to make an LPA — your family will face an expensive and slow Court of Protection application instead. A dementia diagnosis is not the end: many people in early stages retain capacity and can still act. The time to act is now.
The critical rule: you must have mental capacity to make an LPA
Under the Mental Capacity Act 2005, you must have mental capacity at the moment you sign your LPA. Capacity is decision-specific and time-specific — it is not an all-or-nothing status. A person with early-stage dementia may have full capacity to sign an LPA on a good day but not on a bad one.
A dementia diagnosis alone does not mean you have lost capacity. What matters is whether, at the time of signing, you can:
- Understand what an LPA is and what signing it means
- Retain that information long enough to make the decision
- Use or weigh the information as part of the decision
- Communicate your decision
If you cannot do all four, you lack capacity for that decision at that time. When dementia permanently removes this ability, the window to make an LPA has closed.
What happens if you lose capacity without an LPA
Without an LPA, nobody has automatic authority to manage a person’s finances or make health decisions on their behalf — not even a spouse or adult child. This creates an immediate practical crisis:
- Bank accounts may be frozen
- Bills cannot be paid from the person’s own money
- Property cannot be sold (e.g. to fund care)
- Medical decisions cannot be made by family
The only legal remedy is to apply to the Court of Protection for a deputyship order.
Court of Protection deputyship: the alternative to LPA
A deputy is appointed by the Court of Protection to manage the affairs of a person who lacks capacity. There are two types:
- Property and financial affairs deputy — manages finances, pays bills, deals with property
- Personal welfare deputy — makes health and care decisions (less commonly granted)
Deputyship applications are slow and expensive compared to an LPA:
| Feature | LPA (in advance) | Court of Protection deputyship |
|---|---|---|
| Who controls it? | The donor — you choose your attorney | The court — they appoint the deputy |
| Registration time | 10–20 weeks (OPG processing) | 6–12 months for application |
| Registration cost | £82/document (£164 for both) | £371 court fee + £2,000–£5,000 legal fees |
| Ongoing supervision | Minimal (OPG spot checks) | Annual OPG supervision fee (£320+/year) |
| Flexibility | High — donor specifies terms and restrictions | Limited — court sets parameters |
What to do after a dementia diagnosis
If you or a family member has received a dementia diagnosis, act immediately on the LPA front:
- Arrange a GP or specialist capacity assessment. A written assessment confirming capacity at the time of signing protects the LPA from future challenge and satisfies any Certificate Provider concerns.
- Choose your attorneys carefully. For property and financial affairs, the attorney needs to be trustworthy, financially literate, and available to act over potentially many years. You can appoint multiple attorneys to act jointly or jointly and severally.
- Complete both LPAs. The property and financial affairs LPA is urgent. The health and welfare LPA is equally important — it covers care home placement, medical treatment, and end-of-life decisions that arise as dementia progresses.
- Register both LPAs with the OPG immediately. An unregistered LPA cannot be used. Registration takes 10–20 weeks. Do not wait until a crisis.
- Notify the bank. Once registered, provide certified copies of the LPA to the person’s bank so the attorney can be added to the account.
Can an LPA made after diagnosis be challenged?
Yes — and it is more likely to be challenged than one made before any diagnosis. Safeguards:
- Use a GP or specialist (not a friend) as the Certificate Provider
- Obtain a written capacity assessment contemporaneous with signing
- Ensure the donor gave instructions independently — without pressure from the intended attorney
- Consider using a solicitor to oversee the signing
The OPG has power to investigate concerns about LPAs and can refer matters to the Court of Protection. An LPA made under undue influence, or when the donor lacked capacity, is invalid.
LPA and dementia: acting on behalf of someone else
Once the LPA is registered and the person with dementia lacks capacity, the attorney must act in the person’s best interests under the Mental Capacity Act 2005 — not in the attorney’s own interest. This includes:
- Considering the person’s past wishes and values
- Consulting family members and carers where practical
- Taking the least restrictive option
- Not making gifts from the person’s estate beyond what the court has authorised
Attorneys who misuse LPA powers face criminal prosecution under the Mental Capacity Act. The OPG receives around 5,000 LPA abuse complaints per year.
Frequently asked questions
Can I make a Lasting Power of Attorney after a dementia diagnosis?
Yes — provided you still have mental capacity at the time of signing. A dementia diagnosis does not automatically mean you have lost capacity. The Mental Capacity Act 2005 requires that a person lacks capacity only if, at the relevant time, they are unable to understand the information relevant to the decision, retain it, use or weigh it, or communicate it. Early-stage dementia often leaves full capacity intact for months or years. The LPA must be signed while capacity remains. Once capacity is permanently gone, it is too late to make an LPA — a Court of Protection deputyship application becomes the only option.
What if someone has already lost capacity and has no LPA?
If a person has lost mental capacity and has not made an LPA, no one has automatic authority to manage their finances or health decisions. Family members — including spouses — cannot simply step in. The only route is to apply to the Court of Protection for a deputyship order. A deputy is appointed by the court to manage the person's affairs (financial deputy or personal welfare deputy). The application typically takes 6–12 months and costs £3,000–£7,000 in legal fees, plus ongoing court supervision fees. It is far more expensive and time-consuming than making an LPA in advance.
Who can act as attorney for someone with dementia?
Any person aged 18 or over (who has not been declared bankrupt, for a property and financial affairs LPA) can be appointed as attorney. In practice, attorneys are usually close family members: spouse, adult children, or trusted friends. The person with dementia appoints their attorney while they still have capacity — the attorney then activates the LPA (registers it with the Office of the Public Guardian) when the need arises. Once an LPA is registered, the attorney can act on behalf of the person if and when they lack capacity.
What is the difference between a Property and Financial Affairs LPA and a Health and Welfare LPA for someone with dementia?
A Property and Financial Affairs LPA authorises the attorney to manage bank accounts, pay bills, manage investments, sell property, and deal with tax and benefits — anything financial. It can be used while the donor still has capacity (if the donor permits this). A Health and Welfare LPA authorises the attorney to make decisions about medical treatment, care home placement, daily care routines, and end-of-life treatment. It can only be used when the person lacks capacity for the specific decision. For a dementia diagnosis, both LPAs are essential — financial needs arise first, but health decisions become critical as the condition progresses.
Does the Certificate Provider for an LPA need to assess mental capacity?
Yes. One of the safeguards in the LPA registration process is that a Certificate Provider — an independent person who is either a professional (solicitor, GP, social worker) or a person of good standing who has known the donor for at least 2 years — must certify that the donor understood the LPA and was not under undue influence when signing it. If the donor has a dementia diagnosis, a GP or specialist is the preferred Certificate Provider; they can assess and certify capacity formally, making the LPA much harder to challenge later.
Can an LPA be made by someone in hospital or a care home?
Yes. There is no requirement to make an LPA at a solicitor's office. If a person has recently been diagnosed with dementia and is in hospital or a care home, the LPA can be signed there provided they have the necessary mental capacity at the time of signing. A GP or hospital psychiatrist can carry out a capacity assessment to support the LPA. Acting quickly is essential — capacity can fluctuate and may deteriorate.
How much does a Court of Protection deputyship cost compared to an LPA?
An LPA costs £82 per document to register with the Office of the Public Guardian (so £164 for both Property/Finance and Health/Welfare), plus the cost of a solicitor to draft it if used (£200–£500 typically). A Court of Protection deputyship application costs approximately £371 in court fees, plus solicitor fees typically £2,000–£5,000 for the application, plus an OPG supervision fee (£320/year for standard cases) paid annually thereafter. The total lifetime cost of a deputyship for someone who lives for 10 years after losing capacity is likely to exceed £10,000. An LPA made in advance for £164–£664 is dramatically cheaper.
Don't wait — protect yourself with an LPA
WillSafe’s LPA Guidance Pack explains how to complete the official government LPA forms for both Property & Financial Affairs and Health & Welfare — step by step, in plain English. A will and an LPA together give you complete peace of mind.
Get the LPA Guidance Pack →Related guides
- What is a Lasting Power of Attorney?
- Property & Financial Affairs LPA — how it works
- Health & Welfare LPA — when it applies
- How much does an LPA cost in the UK?
- Making a will when seriously ill — testamentary capacity