The change will affect people who want to ensure someone of their choice is authorised by law to manage their affairs should they become unable to deal with them themselves.  This is an important precaution to take for many elderly people.  Those who want to take advantage of the current law must act before 1 October. 

The Mental Capacity Act 2005 will introduce changes to existing provisions for incapacitated vulnerable people.  Among the changes are the provisions for Enduring Powers of Attorney (EPAs).  At present EPAs  relate solely to the financial management of the donor’s property and affairs.  The EPA does not have to be registered until such time as the donor becomes incapacitated.

EPAs created before 1 October 2007 will continue to be valid and have the same effect as at present.  However, from 1 October 2007, they will be replaced by Lasting Powers of Attorney under the 2005 Act.  Lasting Powers of Attorney can, if required, cover decisions concerning health and welfare as well as financial decisions.  However, to be valid, the LPA must be registered with the Public Guardian at the time it is created, and while the donor still has capacity.  The cost of registration alone will be £150 for a single-issue LPA, rising to £300 for an LPA covering both financial and health/welfare decisions.