TV Presenter Kate Garraway’s story demonstrates the importance of a lasting power of attorney. It’s a tragic situation that highlights that certain paperwork shouldn’t just be a priority for older people.
Kate Garraway’s husband Derek Draper suffered a year-long battle with Covid-19. Amid the heartbreaking suffering of Kate, Derek, and their children, the financial difficulties she encountered because Derek didn’t have Lasting Power of Attorney (LPA) compounded their agony.
Kate couldn’t access his bank or credit card accounts, their joint savings, or refinance the mortgage. When the family’s mobile phones broke, she was charged almost £900 for replacement handsets that would have been free had Derek, the account holder, been able to sign the paperwork. The knock-on effect was serious: she had to rely on friends’ financial support.
What Is a Lasting Power of Attorney
An LPA is a legal document that lets you appoint one or more people – known as attorneys – to make decisions on your behalf if you lack mental capacity because you have an accident or an illness and therefore cannot make your own decisions.
When you set up an LPA, you’re essentially saying: “If or when I lose my faculties, I want this particular person or persons to take over so that my money is not locked away and those who need it will be able to access it.”
If There Is No Lasting Power of Attorney
If they don’t have one, sorting out the affairs of a loved one is a long and expensive process. The Court of Protection appoints a deputy to make decisions on their behalf. It dictates the scope of decision-making power and charges £365 to apply. It charges a £100 assessment fee for a first-time deputy. Additionally, it charges a subsequent supervision fee, ranging from £35 to £320 per year. Even if a caring relative is present, it can take up to a year for assets to be made available after a court application.
Kate has admitted in an interview that arranging an LPA had been on her radar. “Derek said [at some point in the past] we have to appoint a power of attorney in case anything happens,” she said. “He said I’d be his. And I’m sure I made some kind of joke, saying, ‘Well, you’re not being mine’… So I know we’ve had that conversation. But it isn’t logged anywhere. Or if it is, I can’t find it.”
It is returned in about 15 weeks or longer. If you live in England and Wales, it costs £82 plus additional fees if you want a professional to draft it. It costs £164 for both health and financial LPAs. It costs £81 in Scotland where the document is known as continuing power of attorney. In Northern Ireland, it’s enduring powers of attorney and costs £151. If you claim certain means-tested benefits or earn less than £12,000 a year, you may be entitled to a fee reduction or even an exemption.
It’s a morbid subject but getting lasting power of attorney is the smart thing to do. For more on wills and power of attorney, please contact the team at Tyto Law.