World Alzheimer’s Month – September 2024

September is World Alzheimer's Month which seeks to raise awareness of the disease and encourage discussion around the topic.

Alzheimer's disease is a type of dementia – which affects 1 million people in the UK. Given the prevalence of dementia in an ageing population you may wish to consider protecting yourself, your assets and your loved ones by making plans for the future.

What should I do to protect my position?

Some people believe that gifting everything to family and friends out of concern for future capacity issues is the best action to take. However, the local authority could deem this to be 'a deliberate deprivation' of assets to avoid paying care fees. There are arrangements that you can consider which could help your position - the only sensible way to ensure you are going to be in the best position in the future is to carefully plan and seek specialist, bespoke advice.

How can I protect my assets?

1) MAKE A WILL

Every adult should have a will in place. A Will allows you to decide who your assets will pass to when you die. If you do lose capacity in later life, your Will shall still be in place on your death. If you have recently been diagnosed with Dementia you may still be able to make or amend your Will providing you still have capacity.

2) REVIEW YOUR WILL

If you have an old Will that does not reflect your current wishes or you have had a change in circumstances since your Will was signed, you should review it and consider doing so regularly.

3) INCLUDE CERTAIN CLAUSES IN YOUR WILL 

It is common for spouses and partners to leave their entire estate to their surviving spouse or partner. However, if the survivor then needs care, perhaps because of dementia, all the inherited assets will be considered for financial assessment and could be lost to care fees. A Solicitor can draft the Will in a way so that the assets belonging to the first person to die can be used by the survivor but are not inherited outright by the survivor. This might be the most effective way for couples to plan for their future.

Why should I consider creating a Lasting Power of Attorney?

A Lasting Power of Attorney (LPA) is a document which allows you to nominate people to have authority to make decisions on your behalf if you lack capacity. There are two types of LPA – one deals with property and financial affairs and the other deals with health and welfare decisions.

To create an LPA you must have capacity, therefore it is important to not wait until you need the LPA as it might be too late at that stage. It is important for everyone to ensure that they have an LPA in place. By having an LPA in place, you can choose people you trust to make decisions for you and express your preferences for the future.

What happens if I don’t have a Lasting Power of Attorney in place?

It is a common misconception that your spouse or next of kin can legally make decisions on your behalf if you lose capacity. This is not the case and can cause issues, for example, with paying bills or making care decisions very difficult.

If there is no LPA in place, the person who wishes to make decisions for you would have to apply to the Court of Protection for a Deputyship Order. This is a very time consuming and expensive process and the person the Court appoints may not be who you would have chosen to make the decisions.  

In conclusion, it is important to prepare for and protect your future. If you lose capacity in the future, this may be a difficult time for everyone involved, so taking steps now can ease some stress for your family.

Sills & Betteridge have an approachable, professional team of lawyers across our offices, who can assist you with planning for the future. Please call us on 0800 542 4245 or email info@sillslegal.co.uk to find out if we can help.