The Cost of Setting Up an LPA: A Breakdown of Fees and Expenses.

Establishing a Lasting Power of Attorney (LPA) is an essential step in ensuring that your affairs are handled by a trusted individual if you become unable to make decisions yourself. Understanding the costs involved can help you plan effectively. This guide breaks down the various fees and expenses associated with setting up an LPA in the UK.

Types of Lasting Power of Attorney

There are two primary types of Lasting Power of Attorney in the UK:

Property and Financial Affairs LPA – Enables an appointed attorney to manage finances, pay bills, and handle property-related matters.
Health and Welfare LPA – Grants authority over medical decisions, care arrangements, and day-to-day personal welfare choices.

You can choose to set up one or both types, depending on your needs.

Registration Fees for LPA

To make an LPA legally valid, it must be registered with the Office of the Public Guardian (OPG). The standard registration fee is £82 per LPA, meaning that registering both a Property and Financial Affairs LPA and a Health and Welfare LPA would cost £164.

The fee must be paid when submitting the application. Payments can be made via cheque or card.

Fee Exemptions and Reductions

Some individuals may qualify for reduced fees:

Full Exemption – If the donor (the person setting up the LPA) receives certain means-tested benefits, they may not have to pay the registration fee.
50% Fee Reduction – If the donor’s gross annual income is less than £12,000, the registration fee is reduced to £41 per LPA.

To claim a fee reduction or exemption, supporting financial evidence must be provided with the application.

Professional Assistance Costs

While you can complete an LPA application independently, some people choose professional assistance to ensure accuracy. The costs for such services vary:

Solicitor Fees – Hiring a solicitor for LPA preparation and submission can range from £300 to £600 per document.
Specialist Online Services – Some online platforms, such as LPA Online, offer an affordable and guided application process starting at £99 per LPA.

Using a professional service can help avoid errors that may delay the registration process.

Additional Costs to Consider

Beyond the registration fee, there may be other costs, such as:

Certificate Provider Fees – A certificate provider is required to confirm that the donor understands the LPA. While friends or acquaintances may do this for free, a professional may charge a fee.
Certified Copies – If you need additional certified copies of your registered LPA, the Office of the Public Guardian charges £35 per copy.

Final Thoughts

Setting up a Lasting Power of Attorney is a worthwhile investment in your future. While the registration fee is £82 per LPA, additional costs may arise if you seek professional assistance or require certified copies. Planning ahead and understanding these costs will ensure a smooth and hassle-free process.

For an affordable and straightforward way to establish your Lasting Power of Attorney, consider using LPA Online today.

#LastingPowerOfAttorney #UKLaw #EstatePlanning #LPA #LegalAdvice #FuturePlanning #PowerOfAttorney #FinancialSecurity #ElderCare #LegalServices