STEP has launched a public-facing campaign ‘Spot the Signs’ to raise the public’s awareness of the signs of financial abuse. Given its importance to our members, mental capacity remains one of STEP’s Thought Leadership priority areas. With global ageing populations, and dementia cases predicted to triple by 2050, the number of vulnerable people, and associated issues, are only set to increase.
In 2023, we wanted to determine the impact of these issues on our members and their clients. We sent STEP members a survey about mental capacity and received responses from respondents in 44 countries. The results culminated in our report, Loss of Mental Capacity: A Global Perspective[1], which was published in November 2023.
The report found that the majority of survey respondents had witnessed instances of actual or suspected financial abuse and believe it is likely to increase. It also identified a clear need to increase public awareness of the risks of financial abuse.
Not all financial abuse is intentional. We hear from members that relatives who have been granted a power of representation, or its equivalent in their jurisdiction, will sometimes justify spending the vulnerable individual’s money because they believe it is what their loved one ‘would have wanted’ them to do. Alongside this, some people can adopt an attitude of financial entitlement when they become the main carer for an older and potentially vulnerable relative. They may see it is an ‘advanced inheritance’ that they are entitled to because of the demands of their caring role.
This complex situation can be compounded by cultural norms around talking about money and frailty, making discussion of an older person’s future care needs uncomfortable or socially taboo. The picture, then, is further complicated where mental incapacity and the use (or misuse) of powers of representation meet. The need to find effective ways to protect vulnerable people is paramount.
Please do share or like any of our Spot the Signs posts that resonate with you and collectively we can play an active role in helping clients and communities put safeguards in place should future incapacity lead to vulnerable situations, including abuse or neglect.
