Swiss executors dealing with UK assets – what do I do? Part one

This article is part one of a two-part series addressing the key considerations for a Swiss executor dealing with UK assets. What does the executor need to consider, and what are the practical steps? 

General considerations

For many executors, having to deal with UK assets in an estate does not come as a surprise. If the deceased had undertaken any sort of planning, the whole process can sometimes be relatively efficient. However, there are many times where UK assets unexpectedly crop up in an estate with little or no UK connections, which is where difficulties can arise. For example, it is often Swiss notaries who are faced with this challenge when UK assets are discovered whilst preparing the Swiss inheritance tax inventory for an otherwise relatively ‘domestic’ estate. 

UK assets can create complexities when navigating through the estate administration process, particularly for an executor who is not familiar with the UK system. UK assets could be financial assets with a UK bank, investment assets held through a UK entity or within a UK situated financial portfolio, or UK real estate, or anything else in the UK. When the estate is not UK-focussed, it is often that the UK elements are not being dealt with separately.

What should a Swiss based executor dealing with assets in the UK be thinking about?

Preliminary thoughts

• Where are the assets? The UK is not a sole legal jurisdiction. The succession rules and taxes for English assets may differ to those in Scotland, and although assets located in Crown Dependencies (eg, Jersey, Guernsey, Isle of Man) may be denominated in GBP, the succession rules and taxes of these jurisdictions again need to be considered independently. This note considers the general approach in England.

   

• Is there a Will? Not everyone leaves a Will. And even if there is one, there may be one Will dealing with global assets, or there may be several Wills dealing with separate jurisdictions. You need to check that, for example, (i) the Will effectively deals with the UK assets, (ii) multiple Wills have not unintentionally revoked one another, and (iii) the Will is valid in all relevant jurisdictions and covers all assets worldwide / within the particular jurisdiction. If there is no Will (or no Will dealing with the UK assets), intestacy rules would apply – these could be the intestacy rules of the jurisdiction of where the assets are located, or the rules of the place of the deceased’s last domicile (using the English sense of the word). Advice should always be sought. 

• Was an election for English law made in a Swiss Will? If the deceased left a Will, what effect (if any) does any election for English law have? From a Swiss law perspective, this will determine which law is applicable to the succession of the assets in the estate. This is of particular relevance if the deceased died in Switzerland or held assets here. A valid election for English law in a Swiss Will may mean that English substantive law applies to the succession of certain assets, however it may be that Swiss substantive law still applies to others. A common example where this question is relevant is with Swiss real estate: the 2025 revision to the Swiss private international law act has helped resolve some uncertainties as to whether English or Swiss law would apply to the succession of the property (and, as a result, whether Swiss forced heirship provisions would be applicable), but specialist advice is needed. 

   

• Who can/should deal with the administration of the UK assets? If there is a valid Will, there is usually the appointment of a testamentary executor who would be responsible for dealing with the administration of the UK assets. If there is no Will, an administrator would need to be appointed to deal with the UK assets as part of the court process in the UK. Who this can be will depend on the personal circumstances of the deceased, and it is generally beneficial for the appointment to be discussed in advance by the intended heir(s). 

What practical steps need to be taken? Please refer to part two to read on.

Please contact Sophie Hart on sophie.hart@crsblaw.com or Michael Wells-Greco on michael.wells-greco@crsblaw.com for further information.