Martin Lewis has warned of the "devastating consequences" of failing to set up a lasting power of attorney (LPA), urging people not to skip the process in a bid to save money.
The money expert was responding to Mags, a 73-year-old listener on his BBC podcast, who keeps separate bank accounts from her husband and wanted to know how either of them could take charge of the other's finances in the future. When she asked if there was a cheaper alternative to an LPA, Martin's response was blunt: "None."
A costly alternative
Without an LPA in place, Martin warned, the only option would be to apply to the Court of Protection - a process he described as "massively more expensive" and one that can take a very long time. He said: "The people you love trying to look after you can be locked out of your finances even to pay for your necessities."
Registering an LPA costs £92 in England and Wales, or £46 for those earning under £12,000, though using a solicitor can cost between £400 and £750. Martin recommended a middle-ground option - the Which? Wills service - at roughly £100 per person (£200 in total for Mags), which includes specialist review of the paperwork to ensure it is legally compliant.
More important than a will
He argued that powers of attorney are even more important than a will, telling Mags: "I know you don't want to spend it, but do your power of attorney."
