May 2022

Divorce Financials

6th April 2022 was the date of the change in legislation that has brought in the “no fault” divorce.

This means that couples wanting to divorce can now do so without the former minimum two years separation clause.

A change of this magnitude is probably the biggest change in 50 years. There are fears that it could lead to an increase in couples divorcing.

Why worry?

The concern I have is from a financial point. As the system becomes easier, the financial arrangement talks could become harder and more unfair.

Financial arrangements I have seen in the past often favour one person more than the other. If one party is stronger willed or more confident, I can see even more people losing out on an entitlement.

There is now the added concern I have that individuals with a “no fault” divorce may decide to sort matters themselves to save money. This, for many, will be a false saving and for the reason given above, could lead to one person receiving less than their fair share.

Splitting the assets

Splitting assets should seldom be 50/50 in my opinion, especially if one party has stayed at home or worked part-time to bring up a family, while the other has forged a career with future enhanced benefits.

I am not a divorce lawyer, and neither do I offer family legal advice, but I do offer financial advice and my involvement has led to enhanced pay-outs for my clients.

I recognise the importance of extracting yourself from an unhappy relationship, and don’t think you should be penalised because you or your solicitor have missed the bigger picture.

Please feel free to contact me if you want advice - there is no charge for an initial chat.

Financial advice from a highly qualified and experienced adviser can be the difference between settling or splitting the finances fairly.