What is the current legislation for divorcing couples?
Each year, the number of couples going through a divorce or ending a civil partnership increases. So too do the number of applications to Court to divide parties’ finances. As it stands, the Court’s powers are governed by the Matrimonial Causes Act 1973, and subsequently mirrored in the Civil Partnership Act 2004, which provides the legislative power to the Judiciary.
These powers enable the Court to make Financial Remedy Orders. These include the sale or transfer of property, maintenance payments to spouses/civil partners and children, and how pensions should be divided – either through Pension Sharing or Attachment Orders or Offsetting.
The Court`s power granted to the Judiciary through the Matrimonial Causes Act is now 50 years old. During that time there have been many changes to society, the economy and how people live and use their finances. As a result, the Law Commission has started a full review of the Matrimonial Causes Act 1973. It aims to find out whether the legislation in place truly assists the Judiciary in coming to fair settlements, or whether there is clear room for improvement and the legislation requires updating.
What will the report focus on?
The Law Commission report, due to be provided in September 2024, will focus on:
- The discretionary powers given to judges over the division of financial assets, and whether there is a need for a clear set of principles, enshrined in law, to give more certainty to divorcing couples
- Whether there should be wider powers given to the courts to make orders for children over the age of eighteen
- How maintenance payments for an ex-spouse or civil partner should work
- What consideration the courts should give to the behaviour of separating parties when making financial remedy orders
- Orders relating to pensions and whether they are overlooked when dividing the divorcing parties’ assets
- The factors judges must consider when deciding which, if any, financial remedy orders to make
The report will provide clear recommendations on what amendments should or could be made and will no doubt highlight the areas that are working well. In the meantime, before the report is received and reviewed, the Matrimonial Causes Act 1973 remains the legislation in force to deal with separating finances on divorce, which without clear legal advice can lead to costly mistakes.
At Rothera Bray, we understand that each client needs tailored and clear advice according to their individual set of circumstances and that getting that advice as soon as possible can help to avoid costly mistakes in the longer term.
If you find yourself in a situation where you are looking to separate out your finances following the unfortunate breakdown of your marriage or civil partnership, Rothera Bray’s highly experienced family team offers initial fixed fee appointments to help you start the process. To arrange an appointment, please contact us on 03456 465 465 or email enquiries@rotherabray.co.uk and we will be happy to arrange an appointment to suit your schedule.
Disclaimer: This blog is for information only and does not constitute legal advice. If you need legal advice, please contact us on 03456 465 465 or email enquiries@rotherabray.co.uk to get tailored advice specific to your circumstances from our qualified lawyers.
