Why Everyone Should Have a Will and Lasting Power of Attorney in Place
As a mortgage adviser or financial planner, you help clients build financial security, whether its by protecting their home, income, or bringing long-term plans to fruition. But there’s one area many clients still overlook, despite it being one of the most important foundations of good planning: having a valid Will and both types of Lasting Power of Attorney (LPA) in place.
These aren’t “later life” documents, they are essential protections for anyone with a mortgage, a partner, children, savings, or property, regardless of age.
Why This Matters (and Why It’s Part of Good Advice)
When clients don’t have a Will or LPA, their family can face serious delays, unnecessary costs, and stressful legal processes at exactly the worst time.
Without a Will, the law decides who inherits the estate, and that may not match the client’s wishes. It can also create complications for unmarried partners, blended families, and dependants.
Without both types of LPA (Property & Financial Affairs AND Health & Welfare) in place, families may be locked out of managing finances or making key decisions if a client loses mental capacity due to illness, accident, or deteriorating health. In many cases, this results in an application to the Court of Protection, which is often lengthy, expensive, and emotionally draining.
For advisers, this isn’t just a legal point, it’s a risk issue, and it can undermine the effectiveness of broader financial planning.
The Practical Benefits for Clients
A Will and LPA’s are about control, certainty, and protection:
Control – Ensures assets go where the client intends
Continuity – Allows trusted people to manage finances if capacity is lost
Family protection – Reduces disputes, confusion, and distress
Financial resilience – Prevents accounts being frozen and key payments being missed
Peace of mind – Helps clients feel prepared, not powerless
Two Simple Steps That Make a Huge Difference
Most clients only need two actions to dramatically strengthen their position:
Put a Will in Place
A Will ensures clarity over assets, beneficiaries, and executor responsibilities. It is especially important when clients have:
- a mortgage or property
- cohabiting partners
- business interests
- children or dependants
- blended family arrangements
Set Up Lasting Powers of Attorney (LPA)
An LPA ensures someone trusted can act on the client’s behalf if they lose capacity. There are two types; Property & Financial Affairs and Health & Welfare. This allows swift decision-making and prevents unnecessary barriers when help is needed most.
Protecting Children: The One Thing Only a Will Can Do
If clients have children, a Will is not optional, it’s critical. A Will is the only legal way to nominate guardians for children if both parents pass away. Without one, the courts decide, which may not reflect what the client would have chosen.
For many parents, this is the single most important reason to act.
Not Just for “Later Life”
A common misconception is that Wills and LPAs are only relevant in later life. In reality, clients in their 20s, 30s, and 40s often have significant responsibilities: mortgages, dependants, income protection needs, and long-term financial goals.
Capacity issues can arise at any age, through accident, illness, or unexpected life events. Having these documents in place ensures the client’s wishes are protected at every stage of adulthood.
Why the FCA and Government Encourage LPAs
Both the Financial Conduct Authority and the UK government promote LPAs because they directly support consumer protection and better outcomes.
Protecting vulnerable clients: if a client loses capacity, an LPA ensures decisions are made by someone trusted.
Preventing financial harm: without an LPA, bank accounts can be frozen and bills may go unpaid.
Reducing stress and delays: it prevents avoidable Court of Protection applications.
Supporting better outcomes: aligned to the FCA’s focus on vulnerability and its Consumer Duty.
In short: LPAs are now seen as a key part of responsible financial planning, not just legal admin.
A Common Issue: LPA Applications Can Be Rejected
Many clients don’t realise that LPA applications are regularly rejected by the Office of the Public Guardian due to missing or incorrect information, signing errors or incorrect witness order. When this happens, clients may need to pay another fee and resubmit the documents. Using an expert estate planning team can provide peace of mind through a detailed checking and support service, ensuring documentation is completed correctly and is compliant first time.
How Key Partnerships Can Support Your Clients
Key Partnerships can complete Wills and LPAs as part of the equity release referral process, helping ensure the client’s estate planning is aligned with the later life advice they are receiving. Advisers can also benefit financially, a commission is payable to advisers when referrals convert, making this an effective way to improve client outcomes while adding value to your proposition.
Our estate planning team conducts a full fact find before making recommendations, and clients only incur costs if legal documents are produced. They also provide strong aftercare support, helping clients keep documents up to date and reducing the stress many people experience when doing it alone.
If you think your next equity release referral would also benefit from speaking to the Estate Planning team, then tick the relevant box when referring online, or when calling, mention it to your Account Manager.
