Grieving families are facing a substantial 75% increase in probate fees starting next month. Probate grants the legal authority to handle an individual’s estate – encompassing their property, finances, and belongings – upon their passing.
Currently, the fee for probate application stands at £300, but as of July 13, it is slated to rise to £526 pending approval by Parliament. The Ministry of Justice has justified this hike as necessary to cover the costs of enhancing services, accounting for inflation, and investing in a more efficient and contemporary service.
The last adjustment to probate costs was in May 2024, when it escalated from £273 to £300. Application for probate can be made by the appointed executor in a will or by the closest living relative in the absence of a will.
Typically, probate becomes obligatory when an estate exceeds £5,000, although this threshold may vary based on the financial institution holding the assets. In cases where assets are jointly owned, they automatically transfer to the surviving co-owner.
In the event of intestacy, assets are usually distributed in accordance with intestacy rules. In England and Wales, spouses or civil partners inherit the initial £322,000 of the estate. Any amount surpassing this threshold is divided between the spouse and children.
The division entails the spouse receiving half of the remaining assets, with the other half distributed equally among the children and grandchildren. Regulations differ in Scotland and Northern Ireland. For those considering creating a will, there are cost-effective options available, such as Free Wills Month in October and March, where solicitors offer free will drafting in specific regions.
Participants are encouraged to include a charity in their will, though it is not obligatory. Another initiative is Will Aid in November, which operates nationwide and encourages charity donations. The suggested donation for a single will is £120, while for a mirror will, it is £200, with the flexibility to contribute less if preferred.
