Spotting the signs of financial abuse.

Spotting the signs of financial abuse

Financial abuse is one of the most common safeguarding challenges faced by social services. It has the power to devastate society’s most vulnerable and situations surrounding the issue can be extremely complex. We spoke to Hugh Jones, a Court of Protection lawyer from Hugh Jones Solicitors, to learn what to do if you suspect that one of your clients is a victim and why when it comes to financial abuse, intuition is a social worker’s most valuable skill.

What exactly is financial abuse?

Financial abuse takes many forms. As well as the obvious examples of theft and fraud, it also includes being put under pressure in relation to money, misuse of benefits and direct payments, or not purchasing items for the protected party in a bid to preserve assets.

Who is most at risk of being affected by financial abuse?

There are several key risk factors that increase the likelihood of someone becoming a victim of this type of abuse. Unsurprisingly, risk increases with age and elderly people make up a significant proportion of victims within the UK. Individuals lacking mentalcapacity, such as those with dementia, severe learning difficulties, brain injuries and mental health illnesses, arealso very likely to be affected.

Sadly, the abuse tends to be at the hands of those closest to the victims. This could people such as relatives, carers or lasting powers of attorney, which is why it can be so difficult to unravel.

When does the Court of Protection become involved?

The Court of Protection appoints deputies to make decisions on financial or welfare matters for people who lack mental capacity.

One type of deputyship is property and financial affairs, which relates to managing areas such as paying someone’s bills or organising their pension.

How many people are affected?

According to a report by Age UK, in 2018 over 130,000people over the age of 65 have suffered financial abuse– that’s almost a fifth of the UK’s older population.

When you consider that these figures only relate to elderly victims, the potential overall figure is huge. This demonstrates how important it is for those working with vulnerable people to look out for the warning signs.

What are the signs to look out for?

Financial abuse can be subtle and is hard to detect.Instinct often plays a huge part in uncovering a case,but there are some indicators to look closely for:

• Transfer of property to family member or friend

• Unexplained withdrawals from an account –particularly when the victim is in a care home

• Regular transfers between accounts

• Money held in someone else’s name

• Changes to a will – particularly once an individual’s capacity becomes questionable

• Signatures on cheques that don’t match

• Unpaid bills or care home fees when someone is appointed as lasting power of attorney or deputy

• Changes within a home, such as little furniture and fewer electronics or personal items

• An individual becoming isolated

If these sound familiar and you suspect financial abuse,you should report the case to the police. If it is a deputy or attorney suspected of financial abuse, the Office of the Public Guardian (OPG) should be contacted.

What steps would the OPG take when presented with concerns?

The OPG has a statutory duty to protect people in England and Wales who lack the mental capacity to make decisions about their health and finances.

Upon receiving a report, the OPG will investigate concerns and has the power to obtain bank statements for the protected party. If further steps are required, the OPG will apply to the Court for suspension, discharge or replacement of the deputy/deputies and/or suspension of any existing enduring or lasting power of attorney. In many cases, the Court will appoint a professional deputy chosen by the OPG, known as a panel deputy, to replace the previous deputy or attorney.

Find out more

To find out more about financial abuse and other Court of Protection matters, visit hughjonessolicitors.co.uk