Intestacy: increase in the statutory legacy

The Budget proposals concerning inheritance tax on farms and farm businesses have understandably created a furore amongst farmers and landowners.  Both sides should be considering whether a compromise could be agreed.

If someone dies domiciled in the UK for inheritance tax (IHT) purposes (or non-domiciled but with UK assets exposed to IHT), this is a tax that cannot be ignored.

It is fair to say that we as a society are not comfortable discussing death. It is daunting – you have to think about Wills, funerals, organ donations, Lasting Powers of Attorney, and care planning. You cannot escape death, but you can ensure your plans are in place. Unnerving as it is, the alternative to not talking, thinking and planning is problems and heartache for loved ones and arguments over property, assets and funerals. Wills and Lasting Powers of Attorney need to discussed more openly and acted upon.

Recent government statistics show that the timeliness for issue of grants of representation (mean average) has progressively slipped since the pandemic

The concept of matrimonial regimes has become increasingly well known in England, having been a stalwart of the French marriage process for centuries. International clients and those with Anglo French connections are asking the right questions about French marriage contracts versus English prenuptial or postnuptial agreements more frequently, being more aware of the significant differences between the two and also the need for cross-border legal advice to ensure their interests are protected should they later choose to divorce.

We wrote in August 2020 that the Government announced that legislation would be introduced to allow remote electronic witnessing of wills but this was only to be temporary.

An executor’s legal duty is to distribute the estate according to the terms of the will. This sounds straightforward, but what happens if one of the beneficiaries is unknown or missing?

Death, as inevitable as it is, still leaves many of us totally unprepared for its effects. This blog looks at some of the practicalities that need to be dealt with as soon as possible when a family member or friend dies.

Death is a traumatic event for the deceased’s family, friends and those involved in their business. The untimely death of business owner or founder can leave a business in shambles. Combined with a lack of succession planning or inadequate planning this can have significant unintended repercussions. Recent studies suggest that a founding entrepreneur’s death wipes out, on average, 60% of a firm’s sales and cuts jobs by roughly 17%. Also, these companies have a 20% lower survival rate two years after the founder’s death compared to similar firms where the entrepreneur is still alive. A recent Legal & General survey which found that 59% of businesses believed that they would have to stop trading in less than a year after the death or critical illness of a key individual.

On 5 July 2023, the UK government confirmed that the statutory legacy, the amount which a surviving spouse or civil partner (for simplicity here we will refer to both as ‘Spouse’) is entitled to receive in England and Wales where a person dies intestate (without a valid Will) and leaves children, will be increased.

In many estates, the deceased’s home is the principal asset whose value often tips the estate over the inheritance tax (IHT) threshold.

Apple officially released its ‘Digital Legacy’ feature on 13 December 2021. This permits individuals who have been nominated by the deceased to access the deceased’s accounts and data after their death. Diva Shah examines the impact of this new feature and its implications for Private Client practitioners in matters of estate planning where digital assets are involved.

Company succession planning is critical to ensure that a company can continue to run in the unfortunate event that a director (or shareholder) dies. If there are other surviving directors, they are able to step in and run the company, but what happens when a sole company director dies?

The UK government has confirmed that the amount a surviving spouse or civil partner is entitled to receive in England and Wales where a person dies intestate (without a valid will) leaving children will be increased. The statutory legacy will be increased by £20,000 from £250,000 to £270,000. The changes will come into force on 6 February 2020.

The recent decision of the Court of Appeal (CA) in Alice Kahrmann (as administrator of the estate of Rainer Christuab Kahrmann) v Hilary Harrison-Morgan (2019) may on the face of it appear to be a textbook dispute between a daughter and step-mother but it teaches us more than meets the eye, particularly in respect of the power of a constructive trust.

In most cases, after the death of a loved one, family members and those close to the deceased come together to agree a fitting and respectful ‘send-off’ for the deceased, whether that involves a funeral, burial, cremation, memorial service or any other way of saying ‘goodbye’.

We hear the word 'probate' bandied around a lot but what does it actually mean? And how do you 'get' probate?

The time following a bereavement is often extremely difficult for loved ones of the deceased. Importantly, being named as executor in a Will does not mean there is a legal obligation to undertake the role. We discuss the options.

If you've been named as executor in a Will there are various considerations to bear in mind. Acting as an executor can be complex and time-consuming as well as entailing significant responsibility. We look at the key responsibilities of executors.

The Secretary of State for Justice Robert Buckland has announced that the proposed enormous increase in probate fees has been scrapped. We understand that the statutory instrument which was awaiting parliamentary approval will be withdrawn.