Laura Pang, senior associate solicitor at Irwin Mitchell, discussed with Yorkshire Legal the clear rise in the younger generation looking after their future affairs. Based in Irwin Mitchell’s Leeds office, Laura demonstrates that the increase in the utilisation of probate services extends beyond the South.
Final Duties has analysed data and attributed the surge in power of attorney registrations in the UK, surpassing a million in 2023, to the country’s aging population. Power of attorney is a legal arrangement that grants someone else the authority to make decisions on behalf of an individual, often utilised in cases involving conditions such as dementia or situations where the individual may lose mental capabilities in the future.
Laura commented; “We are seeing a notable increase in the preparation of lasting powers of attorney, particularly amongst the younger generation. As reported by Farewill in their 2022 “Year in wills” survey, the percentage of wills written by generation Z (born 1997 – 2012) doubled in 2022, and the number of millennials (born 1981 – 1996) writing wills increased by 6% from 2021. This reflects the change in attitude that is taking place by the population in making sure that their affairs are in order.
This change in attitude could be caused by a number of things, with the most obvious being the Covid-19 pandemic (the Law Gazette reported in April 2020 in the midst of the pandemic that will enquiries had increased by 75%). Other contributing factors could be an awareness of the increase in will disputes (and therefore taking active steps to prevent this), the changing nature of assets and liabilities, or the change in demographics and attitude generally.
As with any aspect of succession planning, it is important to always keep a lasting power of attorney under review to ensure that the person(s) appointed are best suited for the role, and to prevent any potential future disputes or disagreements. ”
“This reflects the change in attitude that is taking place by the population in making sure that their affairs are in order.”
The analysis by Final Duties has indicated a notable increase of 33.3% in power of attorney applications in 2023, marking the third consecutive year of growth. The numbers rose by 19.1% in 2022 and 5.5% in 2021, rebounding from a pandemic-induced dip in 2020. This ten-year trend underscores a substantial rise from 274,000 applications in 2013 to the recent milestone of over a million.
The increase is primarily linked to the aging demographic and a rise in dementia cases. Census data from the Office for National Statistics in 2021 revealed a shift from 16.4% to 18.6% in the proportion of the population aged over 65 between 2011 and 2021. Additionally, dementia affects an estimated one in 11 individuals over the age of 65.A separate study by Alzheimer’s Research UK disclosed a rise from 829,000 cases in 2018 to 944,000 cases in 2021, with projections indicating a further increase to 1.1 million by 2030 and 1.6 million by 2050.
“The analysis by Final Duties has indicated a notable increase of 33.3% in power of attorney applications in 2023, marking the third consecutive year of growth.”
Jack Gill, managing director of Final Duties, commented; “The baby boomer generation is ageing and the unfortunate consequence of this aging population is an increase in prevalence of dementia within our society.
This has naturally led to a spike in the number of applications being made for power of attorney, as those suffering from dementia appoint a trusted loved one to act on their behalf in anticipation of a time when they are no longer able to do so for themselves.”
Image: Laura Pang, senior associate solicitor at Irwin Mitchell.
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