Should some kind of warning system be put in place if uncharacteristically large amounts of money are being transferred by an attorney? A paper from the Money and Mental Health Institute reported that 71 per cent of respondents said they would find it helpful if a trusted friend was notified by the bank if there were noticeable changes in spending behaviour.
Such a system could go a long way towards preventing abuse as well as providing valuable peace of mind for friends and family, particularly if they live far away and do not have day-to-day contact with their family member and their attorney.
While the LPA system does have its challenges, I do not think they should be consigned to history just yet. In the majority of cases they do work well and if oversight of the attorney can be increased, they can continue to provide valuable protection.
Helen Morrissey is personal finance specialist at Royal London
