Ordinarily, people are able to make annual gift of £3,000 (in total and split between as many people as they wish) and several one-off lifetime gifts when someone gets married to immediate family members without falling foul of any HM Revenue & Customs or 'deliberate deprivation' rules (where the local authority believes someone has deliberately given away money or assets in order to qualify for financial help with care fees). However, what is vitally important to note here is that it is not possible to gift any amount of money using a Power of Attorney.
If your father has sufficient mental capacity then he can still make his own gifts but, if he doesn’t, then any financial gifts, even if they are in keeping with the accepted amount, must be sanctioned and agreed by the Court of Protection before they are made.
Another point to consider is the money currently sitting in your father’s bank account; it may be possible to restructure this amount, possibly purchasing a care fees payment plan so that his care fees can be met indefinitely or at least ensuring that it is gaining the maximum amount of interest. The Care Fees Planning Handbook, which you can download free of charge from Symponia's website, may be of help to you and your family.
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