Power of Attorney and Care Homes: What Attorneys Need to Know

Power of Attorney and Care Homes: What Attorneys Need to Know

When someone needs care home placement, LPA becomes essential. Here is how both types of LPA apply to care home situations.

Two LPAs, Two Roles

Property and Financial Affairs LPA:

• Paying care home fees
• Managing finances during residence
• Handling property sale for funding
• Dealing with local authority funding assessments

Health and Welfare LPA:

• Deciding whether residential care is needed
• Choosing which care home
• Deciding on care plans and treatments
• Making decisions about daily welfare

The Financial Side

Paying care fees: Care homes are expensive (often £800-1,500/week). As financial attorney, you may need to:

• Pay fees from the donor's accounts
• Manage their income (pension, benefits)
• Handle investments to fund care
• Sell property if needed

Local authority assessments: If the donor may need council funding:

• You handle financial assessment on their behalf
• Provide required financial information
• Manage any contributions required

Deprivation of assets: As attorney, you must NOT give away or hide assets to avoid care fees. This is illegal and can be investigated.

The Care Decision Side

Choosing a care home: With Health and Welfare LPA, you can:

• Visit and assess care homes
• Make the placement decision
• Sign care home contracts (on welfare matters)

Ongoing care decisions:

• Agree care plans
• Make medical decisions
• Decide on activities and routine
• Handle complaints or concerns

When Both LPAs Work Together

Scenario: Mum needs care home placement

Health and Welfare attorney: Decides she needs residential care, chooses the home, agrees the care plan

Property and Financial attorney: Pays fees, manages her house, handles financial assessment

These could be the same person or different people.

Care Home Contracts

Care home contracts cover both:

• Financial terms (Property LPA signs)
• Care arrangements (Health LPA signs)

If you hold both LPAs, you can sign the entire contract. If different people hold different LPAs, both may need to sign relevant sections.

Protecting the Donor's Interests

As attorney for someone in a care home:

• Visit regularly
• Review care quality
• Raise concerns promptly
• Ensure their money is used for their benefit

Without LPA

If there is no LPA and the person lacks capacity:

• Court of Protection application needed
• Can take 6-12 months
• Care home may require guarantor
• Family may have to pay personally while waiting

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Prepare for Care Home Possibilities

Ensure someone can manage care decisions and finances.

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