UNMARRIED COUPLES

When a husband or wife dies without a Will the intestacy rules determine the order of distribution of the estate. These rules do not apply in the case of unmarried couples and therefore it is essential that unmarried couples consider carefully what arrangements they want to make with regard to their home, contents, mortgage, pension and life policies etc.

Gifts made between husband and wife during their lifetime or on death are wholly exempt from inheritance tax. This exemption does not apply for unmarried couples thus resulting in significant inheritance tax liability.

Unmarried couples also need to give particular attention to the legal ownership of the home to enable the survivor to continue living at the property if possible and must also consider appointing guardians for children.