Family inheritance disputes hit 10-year high

Telegraph

4 days ago

Family inheritance feuds have hit their highest levels in more than a decade, figures show.
More than 11,300 wills were challenged last year, up from 10,410 in 2023, according to official data revealed to The Telegraph by a Freedom of Information request.
The figures represent a marked increase in disputes, with challenges up 56pc from before the pandemic.
Lawyers said that rising property values and larger estates mean that there's 'more at stake' .
In Britain, a person has testatory freedom – the right to decide to whom or what they leave their money – in all but very limited circumstances. This is in contrast to countries such as France, where a portion of estates must be left to direct descendants.
However, this principle is not absolute as those who were financially dependent on the deceased can lay claim to the estate if they are not included.
To do this, the person will usually lodge a 'caveat'. This blocks the granting of probate, the vital legal document needed to distribute an estate to the beneficiaries.
Last year, 11,362 caveats were issued, and it's estimated that approximately 60pc of claimants succeed. The majority were settled out of court. Less than 5pc will be successful at trial, lawyers said, and it can be very expensive.
Scott Taylor, partner in private wealth disputes at law firm Moore Barlow, said: 'Rising property values mean there's simply more at stake when it comes to inheritance. The cost of living crisis has left many people viewing inheritance as essential rather than a bonus.
He said: 'The concern is that there's little evidence this trend will slow as the economic screw continues to turn. Courts are already close to capacity, and that could become a serious issue in the near future before even considering the human impact on those involved.'
Tamasin Perkins, partner at firm Charles Russell Speechlys, said: 'Family tensions and financial pressures are all playing a part. The rise in house prices also means that the family home is becoming more important to younger family members who cannot otherwise afford to get on the property ladder.
'At the same time, people are becoming more switched on; caveats are cheap to obtain and can be done using a simple online process and without lawyers.
'Whilst accessibility is important, this process can be open to misuse when people use caveats tactically to try to force an early settlement.'
The surge in feuds comes after the Law Commission published a landmark report into wills in May, having started an investigation into the legal documents in 2016.
The report found that current laws are not doing enough to protect the elderly and vulnerable from financial abuse, amid a rise in so-called 'predatory marriages'.
The commission also recommended that electronic wills be considered valid, that marriage should no longer invalidate a will, and that those aged over 16 should be given the right to make a will, rather than just those over 18.
And it said that more informal wills should be recognised by courts, and proposed changes to rules about when disabled or mentally incapacitated people can make decisions for themselves.