Document Control Sheet

Transcription

1 Policy Document Money Management Policy Lead Director: Frank Toner Lead Assistant Director: Simon White Policy Approved by: Senior Management Group Date Policy approved: February 2012 Implementation Date: February 2012 Review Date: January 2013 Status: Final Policy Number: BBP17 Version no: 2

2 Document Control Sheet Title of Policy Purpose of Policy Type of Policy Money Management Policy To provide the policy framework for the usage and management of the Council s Money Management service Operational Policy Target Audience Implementation Date February 2012 Adult Social Care Practitioners and Managers Business Support Unit Staff Action Required This policy supersedes This Policy should be read alongside Lead Assistant Director Policy Lead/Author Adoption of this policy as the framework for Money Management Accounts Money Management Policy Version 1 (April 2008) Money Management Operational Procedures Simon White Lucy Wainwright Draft Versions Comments to Performance Policy and Practice Unit Deadline 28 th February

3 Money Management Policy Background Local Authorities have a duty to provide services for vulnerable people under Community Care Legislation. From time to time, during the assessment of people's needs, care managers encounter people who appear to be having difficulty in managing their financial affairs. Whilst Local Authorities have no obligation to assist people with the management of financial affairs, they have a responsibility towards vulnerable adults within their area and in certain circumstances have a statutory obligation to protect a person's property. Bedford Borough Council operate a Money Management Scheme for service users who are in receipt of care services funded by the Council and who lack the capacity to manage their own finances and have no other suitable person to manage them on their behalf. This policy sets out the framework of how the scheme is operated and is a complete revision to the previous Money Management Policy approved in A separate document details the operational procedures. Legislative Framework National Assistance Act 1948 Mental Health Act 1983 NHS and Community Care Act 1990 Data Protection Act 1998 as amended by Data Protection Act 2008 Mental Capacity Act 2005 Policy Statement Bedford Borough Council will act in partnership with service users, their representatives and other agencies to protect the financial interests of vulnerable adults without capacity. The Council will offer the service of acting as 'DWP appointee' for service users who lack the capacity to manage their own financial affairs and have no other suitable person who can do this on their behalf. The Council will have the option of referring service users with savings of more than 5,000 and/or complicated property and financial affairs to the Court of Protection who may appoint a Deputy with legal authority to manage the person's property and financial affairs. The Council is committed to providing an appropriate service and delivering it in a consistent and reliable way to those most in need. 3

4 Scope and Exclusions This policy applies to all service users in receipt of a care service funded by the Council and who lack the capacity to manage their own finances and have no one else to manage them on their behalf. Principles Service users should be enabled to manage their own financial affairs wherever possible. A vulnerable person with capacity but requiring financial advice will generally be offered advice to set up their own financial arrangements involving the support of family, friends or other responsible person nominated by the service user. Where a service user lacks capacity to manage his/her own financial affairs, it is expected that a relative, friend or responsible person nominated by the service user would usually do so. Only in exceptional circumstances when all other options have been considered, and as part of an assessed need authorised within the service user's support plan, will the Council undertake to manage a service user's financial affairs. The Council will adopt one or more of the arrangements set out in the Key Roles section of this document. Before deciding which to adopt, the Council will carry out a capacity assessment in order to establish those matters relating to a service user s financial affairs where that person is able to make a decision, those where they need assistance and those where another person will need to make a decision in their best interests. This assessment and any best interests decisions which are made will be carried out in accordance with the requirements of the Mental Capacity Act 2005 and in line with the current Council policy and procedures in relation to Mental Capacity Assessments. Where a person lacks an external source of support, referral to an advocate should be considered. Wherever possible, service users will be involved in the development of their care plans to meet their specific financial needs and will be invited to participate in decision making. A money management plan will be devised for the service user as part of their support plan to meet their specific financial needs and will be reviewed regularly as part of their annual review or when their financial circumstances dictate. 4

5 All transactions within the Money Management scheme must be kept and made available for inspection, on request, by service users or their authorised representatives. Outcomes The intended outcomes of this policy are that: Service users who lack capacity to fully manage their own finances are helped to live independently in the community. Service user s finances are appropriately safeguarded. Service user s finances are managed legally and consistently. The money management scheme is cost effective and clearly audited, minimising risk to the local authority. Key Roles There are a number of different circumstances where the Council may become responsible for the finances of a service user under their care. This responsibility comes in different degrees of delegated responsibility, an explanation of which is set out below. 1. DWP appointee The appointee is responsible for claiming benefits and notifying the Department for Work and Pensions of any change in circumstances. The appointee cannot deal with any income derived from sources other than statutory benefits. The appointee can be a family member or friend. The Department for Work and Pensions may require medical evidence that the claimant is unable to act. The Council will apply to the Department for Work and Pensions to be made an appointee for the service user where: A service user is in receipt of statutory benefits and lacks capacity to fully manage those benefits; There is no one suitable to assist the service user to do so, or to act as appointee; There have been documented safeguarding concerns regarding how a service users finances are currently being managed: and it is otherwise appropriate to do so Responsibilities of an appointee include: establishing what benefits or allowances the service user is entitled to; 5

6 completing any necessary claim forms on their behalf; ensuring payments are applied for the benefit of the service user; informing the Department for Work and Pensions immediately of any change in the service user's circumstances and dealing with any resulting queries or correspondence; carrying out instructions received about benefits; if the benefit is paid into a bank, building society or Post Office card account, informing the relevant office of any changes to the account details; repaying overpayments of benefits when legally required to do so. The Department for Work and Pensions or the Council may terminate the appointeeship at any time. The service user may end the arrangement if they regain capacity to manage the benefits payments themselves. An instruction must be submitted in writing to the relevant benefit office. Where a relative wishes to take over the appointeeship from the Council and the service user lacks capacity to make this decision, a Best Interests decision must be made. 2. Deputyship Where the financial affairs of a service user are complex, or there are substantial assets, it may be necessary for a Deputy to be appointed by the Court of Protection. A Deputy has the power to make financial decisions on behalf of the person lacking capacity to do so. The powers of a Deputy are subject to restrictions imposed by legislation and to any restrictions imposed by the Court. The Council will normally request that the Court of Protection appoints a panel deputy. The Council will only agree to be appointed as a Deputy for a service user in exceptional circumstances. Where the Council is appointed as a Deputy, the named deputy will be the Director of Adult & Community Services, who will represent the service user at any Court of Protection hearings. 3. Money Management Account Where the Council is acting as appointee, or under a Court Order, or as a Deputy, in relation to the financial affairs of a service user, it will open a money management account for the service user. The service user's income and, where appropriate, savings will be maintained in the account. 4. Other forms of investment Large balances (over 25k) will be brought to the attention of the Head of the 6

7 Pensions Fund and Treasury Management so that the suitability of maintaining the current bank account can be compared with other suitable alternatives. 5. Enduring and Lasting Powers of Attorney If a service user has made a valid Enduring or Lasting Power of Attorney for property and financial affairs, at a time when they had capacity to do so, the Council would usually expect the attorney to manage the service user s finances. However, if the Council believes that the attorney is not acting in the best interests of the service user, it may make representations to the Office of the Public Guardian, or apply to the Court of Protection for the power to be revoked. Before doing so, there should normally be a SOVA meeting and legal advice should be taken. The Money Management Scheme The Council hold a main account with the Allied Irish bank and individual subsidiary accounts are held for each service user. All benefits and income are paid directly in to the service user's account. Standing orders and direct debits can be set up directly from the individual's account. All transactions are carried out online with Internet Business Banking. There are a restricted number of personnel who have access to the accounts and a high level of password control is in place. All transactions require evidence and authorisation to maintain internal control and provide the necessary audit path. Wills Where a money management account exists, a service user should be encouraged and supported by the Care Management team or their advocate to produce a Will to determine what should happen to their estate in the event of their death. A copy of their Will, or details of where the Will is held should be passed to the Business Support Unit for retention on their Money Management file. Termination of a Money Management account A Money management account will automatically terminate in the event of the death of the service user. The Business Support Unit will undertake the appropriate actions to close down the account and ensure all outstanding debts are paid. 7

8 In the event of a person s death where no next of kin exist, the Council will retain estates with a cash residue value of 500 or under. All cases with a balance of over 500 will be referred to the Treasury Solicitor for relatives to be traced. If the service user stops receiving funded services from the Council, the money management account will also be terminated. In exceptional circumstances, the Council can maintain the money management account upon request but will charge a reasonable fee for doing so. If health funding is awarded, and the Health Authority wishes the Council to maintain the account, the Council will charge the Health Authority for providing this service on behalf of the service user. The service user may terminate their management account if they regain their mental capacity. Charging For service users for whom the Council acts as Deputy, annual management fees will be charged in accordance with Rule 167 of the Court of Protection Rules 2007 and as set out in the latest Court of Protection Practice Direction B Fixed Costs in the Court of Protection. Where the Council does not hold deputyship, but holds a money management account on behalf of a service user, the Council will take a fee when the account is terminated. The fee will be taken once all outstanding debts have been settled and before any remaining money is paid out to the service user's next of kin. This fee will be a maximum of 300 or 10% of the remaining balance, which ever is the higher amount. Where the Council maintains a money management account after Council funded services have been terminated, a maximum fee of 10 per month will be charged to the service user. Where the Council maintains the account on behalf of another organisation such as the Health Authority, a charge of 20 per month will be made to the organisation. 8