If you had a stroke tomorrow, who could access your bank account, sell your house or manage your pension? For many British people in Portugal, a lasting power of attorney (LPA) is the answer, but it is not as simple as signing a form back in England.

Most of us put this off. It feels like something for later, or something that happens to other people. In my experience helping British expats in the Algarve, it is one of the most common gaps I see, and one of the most painful to fix once it is too late. This guide explains how a lasting power of attorney works when you live in Portugal, where the problems arise, and what sensible steps to take now.

This article is general information, not personal advice. Legal and tax positions depend on your circumstances, so please take advice from a qualified lawyer and adviser before acting.

What is a lasting power of attorney?

A lasting power of attorney is a legal document that lets you choose someone you trust (your “attorney”) to make decisions for you if you can no longer make them yourself. In England and Wales there are two types: one for property and financial affairs, and one for health and welfare.

The financial one covers things like paying bills, managing bank accounts and dealing with investments. The health and welfare one covers decisions about care and medical treatment, and can only be used once you have lost capacity. The word “lasting” simply means it continues to work if you lose mental capacity, which is exactly the situation it is designed for.

Without one, nobody can simply step in. Even a husband or wife may find they cannot access a bank account held in your sole name, and your family may have to go through a court process to be given authority. That is slow, expensive and stressful at the worst possible moment.

Why living in Portugal changes the picture

An LPA is an English and Welsh legal document. It was created under UK law, and it is designed to be used by UK banks, pension providers and care bodies. Once you live in Portugal, you have assets and decisions in two countries, and each country has its own rules about who can act for you.

Portuguese banks, notaries, property registries and the tax authority will not automatically accept a UK LPA. Some may accept it with a certified translation and an apostille (an official stamp that confirms a UK document is genuine for use abroad), but others may not. There is no single rule that guarantees acceptance everywhere, and practice can vary between institutions.

The reverse is also true. A Portuguese document may not be recognised by your UK pension provider. That is why people with assets in both countries often need to think about documents in both places rather than relying on one.

How Portugal deals with adults who lose capacity

Portugal reformed its system in 2018, replacing the older and rather blunt “interdiction” regime with a measure known as the maior acompanhado (literally “accompanied adult”). A court can decide what support an adult needs and appoint someone to help, tailoring the measures to the person rather than removing all their rights.

This is a court process, and it can take time. It is the fallback if nothing has been arranged in advance. If you have planned ahead, you may be able to name who you would want to support you, and to give documented instructions about your wishes, rather than leaving it to a judge to decide.

I am a financial adviser, not a Portuguese lawyer, so I would always suggest you take advice from a Portuguese lawyer (advogado) on the exact options and wording. What I can tell you is that in practice the people who have set up documents in advance are in a much better position than those who have not.

Will my UK LPA be recognised in Portugal?

This is the question I get asked most, and the honest answer is “it depends”. Portugal has been party to the Hague Convention on the International Protection of Adults since 2018. That treaty is designed to help countries recognise each other’s measures for adults who cannot protect their own interests. However, as far as I am aware, it applies only between countries that have signed up, and I understand England and Wales are not currently among them (Scotland is). That means you should not assume your English LPA will be automatically recognised under the treaty.

In practice, many people find that an English LPA is still treated as useful evidence of your wishes, and some institutions will work with it. But you should not rely on that. The better approach is to check with the specific banks, pension providers and advisers you deal with, and to take local legal advice on whether a Portuguese document should sit alongside it.

Things that commonly help include a certified translation into Portuguese, an apostille on the UK document, and a clear letter from your lawyer explaining what the document allows. Even then, a Portuguese bank may insist on its own forms.

Practical steps to take now

You do not need to solve everything at once. These are the steps I would suggest working through, roughly in this order.

• Put an English LPA in place if you still have UK assets. If you have a UK pension, UK bank accounts, an ISA or rental property, an LPA is the document UK institutions expect. You apply through the Office of the Public Guardian, and it must be registered before it can be used. At the time of writing the registration fee is £92 per LPA, having risen from £82 for applications received from 17 November 2025. Check gov.uk for the current fee and for details of reduced fees.
• Ask a Portuguese lawyer about a local document. They can explain what Portuguese equivalents exist, for example a power of attorney (procuração) or a document that names who you would want to support you, and whether they suit your situation.
• Choose attorneys carefully. Pick someone you trust who is likely to be reachable. If your only attorney lives in the UK and your assets are in Portugal, think about how practical that will be. You can name more than one, and replacements.
• Keep a clear record of your assets. A simple list of accounts, pensions, insurance policies, property and professional contacts makes life far easier for whoever has to step in.
• Tell your family where documents are. A perfect LPA locked in a drawer nobody knows about does not help anyone.

Your pension and an LPA

Pension providers are often cautious about acting on an LPA, and they will want to see a registered original or a certified copy. If you are taking income from a UK pension, such as a defined benefit scheme or flexible drawdown, it is worth asking your provider now what documents they accept and how long they take to process them.

Some providers have their own internal requirements, and these differ. It is much easier to learn that in advance than when a family member is trying to deal with the problem under pressure. I also recommend ensuring your expression of wish (nomination) forms are up to date, as these are separate from an LPA and decide who may receive your pension benefits after death.

If you would like to understand how pensions and wider planning fit together, our other guides on arthurbrowns.co.uk cover pension death benefits, wills and estate planning for expats in Portugal.

Wills, inheritance and LPAs are different things

A lasting power of attorney only operates while you are alive. It stops on death, at which point your will takes over. People often mix the two up, so it is worth being clear: you need to plan for both.

If you own property in Portugal, you will also want to think about how Portuguese succession rules interact with your will. That is a separate topic with its own considerations, and one where specialist legal advice is essential.

Common mistakes I see

The first is assuming that a spouse can automatically deal with everything. In most cases, joint accounts help, but sole accounts, pensions and investments in one name often stay frozen until someone has legal authority.

The second is leaving it too late. An LPA can only be made while you still have the mental capacity to understand it. If a diagnosis such as dementia comes first, the option may be lost.

The third is relying on a single document in a single country. When your life is split between two countries, so should your planning be, at least to the extent that your assets and relationships are.

Frequently Asked Questions

Can I make a UK lasting power of attorney while living in Portugal?

In general, you can apply for an LPA under England and Wales rules while living abroad, as long as you have the mental capacity to do so and follow the process, including having it witnessed and certified. Check the current guidance on gov.uk, as the process involves forms and official registration.

Does a UK LPA work for my Portuguese bank account?

Not automatically. Portuguese banks decide their own requirements, and many ask for certified translations, an apostille or their own forms. Speak to your bank before you need it.

Do I still need an LPA if I have a will?

Yes. A will only takes effect after death. An LPA is for when you are alive but unable to manage your affairs.

What happens if I have no power of attorney?

Your family may need to apply to a court to be given authority, in the UK through the Court of Protection, or in Portugal through the accompanied adult process. Both can be slow and costly.

How much does an LPA cost?

The government registration fee in England and Wales is currently £92 per LPA at the time of writing, plus any legal fees if you use a solicitor. Always confirm the current fee on gov.uk.

What to Do Next

If you live in Portugal and have a UK pension or other assets, a lasting power of attorney is one of the most valuable pieces of paperwork you can organise, but it works best alongside local advice and a plan that covers both countries. Start with the UK document, speak to a Portuguese lawyer about local options, and check the requirements of your banks and pension providers.

For more detail, the UK government’s guidance is at gov.uk/power-of-attorney, and MoneyHelper has plain-English help at moneyhelper.org.uk.

If you’d like to discuss how this affects your personal situation, get in touch with our team. We specialise in helping UK expats in Portugal make the most of their pensions and investments.

Matthew Renier is a Chartered Financial Adviser at Arthur Browns Wealth Management, based in the Algarve, Portugal, helping British expats manage their pensions and financial planning across borders. This article is for general information only and is not personal advice.

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