Consultation on a Small Payments Scheme for the Mental Capacity Act 2005

I want to make it simpler and quicker for the people who care for individuals who lack mental capacity to access the funds on their behalf. The evidence demonstrates that legislating for a small payments scheme would fail to address the underlying challenges preventing access to small value assets. Instead, the best approach is to focus on addressing the underlying barriers in the current system to accessing small value assets. To do this, the Government will work with the Court of Protection to improve application processing times and simplify court forms, and collaborate with OGDs, charities, and the finance sector to increase awareness of the MCA among parents and caregivers of young people without capacity as they transition to adulthood.

Importantly, this approach will also maintain protections and support for vulnerable people and their rights. The steps outlined uphold the principles of the MCA to empower individuals without mental capacity to make their own property and affairs decisions when possible and support their families and caregivers to make decisions in their best interest when necessary. This is essential for protecting vulnerable individuals from fraud, abuse, and coercion.

I hope the publication of this response will demonstrate the thorough consideration given to this issue and the impact on those individuals who lack capacity. As my predecessor, now the Minister for Disabled People, Health and Work, my hon. Friend the Member for Corby (Tom Pursglove), said when launching the consultation, these individuals must come first and should not lose the protections provided by the MCA. It is my belief that this response rightly honours that.

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