In the Matter of AB [2026] EWCOP 11 (T2) (5 February 2026) Her Honour Judge Hilder considered various factors when deciding if a Trust Corporation could be appointed as a deputy.
Key Facts
The matter concerned an incapacitated adult (“AB”) and issues relating to the appointment and responsibilities of a deputy. In this case, a trust corporation made an application to be appointed as AB’s deputy. The trust corporation, whilst not directly regulated, had employees with day-to-day management of the matter, who were regulated by the SRA.
In this case, the Court was required to address practice and procedure in the context of deputies who have been appointed to manage the finances and property of someone who lacks capacity under the Mental Capacity Act 2005.
A major practical issue in this case was whether the trust corporation deputy was covered by appropriate professional indemnity insurance. This is an important protection for both the deputy and AB in the event of any claims that may arise from deputyship decisions.
The judgment illustrates how the Court of Protection will scrutinise the credentials and safeguards associated with professional deputies, especially when the deputyship is not a family member or layperson. In this matter, the application was for the appointment of a trust corporation as opposed to an individual and whilst the day to day file handler was a solicitor, the trust was not a law firm and was not therefore regulated by the SRA.
Previous Case Law
In the judgement from Various Incapacitated Persons and the Appointment of Trust Corporations as Deputies [2018] EWCOP 3, it was provided that two types of trust corporation were acceptable either where the trust corporation is itself authorised by the SRA OR where;
a. all the directors of the trust corporation are solicitors and it employs no one (save to the extent that it employs a company secretary); and
b. the trust corporation will retain its associated legal practice to carry out all practical work in relation to the management of the incapacitated person’s property and affairs; and
c. the trust corporation is covered by the professional indemnity insurance policy of its associated authorised legal practice on the same terms as that practice
AND that the trust corporation will inform the Public Guardian immediately if any of these things change
with the following undertakings:
1. The proposed deputy (the trust corporation) is a trust corporation within the meaning of section 64(1) of the Mental Capacity Act 2005 and can lawfully act as such; and the trust corporation will inform the Public Guardian immediately if that ceases to be the case.
2. The trust corporation will comply with the Public Guardian’s published standards for professional deputies.
3. EITHER
(i) The trust corporation is authorised by the SRA; OR
(ii) all the directors of the trust corporation are solicitors, and it employs no one (save to the extent that it employs a company secretary); and
(iii) the trust corporation will retain its associated legal practice to carry out all practical work in relation to the management of the incapacitated person’s property and affairs; and
(iv) the trust corporation is covered by the professional indemnity insurance policy of its associated authorised legal practice on the same terms as that practice.
4. The trust corporation will notify the Public Guardian immediately if there is any change to any of the matters set out in paragraph 3 above.
5. The trust corporation undertakes that it (or where relevant its associated authorised legal practice) will maintain insurance cover that:
(i) covers the work of the trust corporation and
(ii) is compliant with SRA Minimum Terms and Conditions.
6. The trust corporation will lodge a copy of the insurance policy referred to in paragraph 5 above with the Public Guardian on appointment and will inform the Public Guardian immediately if there is any reduction in the terms or level of the insurance cover.
AB [2026]
In the initial application Enable & Thrive Ltd was unable to comply with undertakings from previous case law, there were failures to notify family members of the application and when family members were notified, they objected to the application. There was also a lack of detail provided to the court in relation to AB’s circumstances.
It was necessary for the court to look at whether other safeguards existed and the court found that the applicant had;
- A solicitor director regulated by the SRA.
- Professional indemnity insurance.
- Staff training.
- Safeguarding procedures.
- Annual reporting to the OPG.
- Requirements for a security bond.
Conclusion
In this matter the third undertaking from Various Incapacitated Persons and the Appointment of Trust Corporations as Deputies [2018] EWCOP 3 could not be satisfied as the trust corporation was not regulated by the SRA and to compensate for this the following was to be complied with:
- The corporation confirms it is a Category 3 trust corporation, and names the solicitor‑director(s) regulated by the SRA.
- Only the named solicitor‑director(s) may be listed on any client account.
- It must notify the Public Guardian of any change to these matters.
- It must still comply with the undertakings on insurance found in The First Judgment.
Whilst this could be complied with, a hearing took place and all parties agreed that the trust corporation be discharged and a panel deputy should be appointed in its place.
Legal Significance
The case underscores that corporate deputies must demonstrate appropriate insurance and oversight mechanisms before being appointed or continuing in the role.
It also highlights practical Court of Protection concerns about the capacity of professional deputies to manage complex financial affairs and ensure protection of vulnerable persons’ interests.
It was accepted that the risks to AB included the potential misappropriation of funds, financial mismanagement and a lack of accountability. Her Honour Judge Hilder also noted that “membership of professional associations is not the same as regulation.”
If you have any questions on the information above or have any general queries with regard to seeking costs, please contact me at Tanya.Foran@clarionsolicitors.com