Millions of over-75s are without a Power of Attorney, new research from Just Group revealed.
According to the retirement specialist, 59% of retirees – the equivalent to around 3.4 million people – have not arranged a Power of Attorney*.
A combination of not yet feeling they are at the right stage of life (35%), a fear of giving up control of their finances (22%) and not trusting anybody else with their money (6%) were driving older people’s reticence, Just Group said.
Despite this, one in seven (15%) people said they had no intention of arranging a Power of Attorney, while one in 10 (8%) said they did not know it was important to do so.
Stephen Lowe, group communications director at Just Group, said it was “worrying” that millions of people are entering later life without a Power of Attorney in place.
Lowe said: “It is concerning that we found a significant proportion of over-75s stating either they did not intend to consider or had no idea of its importance. None of us like to think about our vulnerabilities or impending mental and physical decline but handling the affairs of a relative without a Power of Attorney in place can be distressing and costly.
“We would strongly urge people to look at setting up a Power of Attorney at the same time as they organise or update their wills in order to provide peace of mind in later life for themselves and their family.”
* A Power of Attorney is a legal document that enables a person to make decisions on behalf of another individual if they lose the mental capacity to understand or make choices for themselves. They must be arranged while the person still has the mental ability to make financial or medical decisions for themselves. If someone loses capacity without having a Power of Attorney in place, family members must apply for deputyship through the Court of Protection, which carries an annual renewal fee of £2,500.
