James Elliott-Hughes writes for Wealth Briefing on Post-Separation Accrual
For those going through divorce, the day the parties separated can be a key inflection point, resulting in emotional and logistical changes to the relationship. This date can also have important consequences in establishing how assets are to be divided on divorce.
With the introduction of “no-fault” divorce in April 2022, the legal position in England and Wales changed considerably; it is no longer possible to obtain a divorce on the grounds that you have already separated from your partner for a defined period.
Despite this, the date of separation can be pertinent when one party has accrued significant assets since separating. In such circumstances, the said party may seek to ring-fence those assets and have them excluded from the shared marital pot. This is commonly referred to as post-separation accrual and it often following asset types:
- Company interests/shares;
- Bonuses and long-term share incentive plans;
- Property portfolios;
- Assets with delayed financial results, such as insurance syndicates;
- Inheritance.
James Elliott-Hughes, Associate in our Family team, explores this topic and provides advice to individuals and their advisers, in an article for Wealth Briefing.
Read the full article in Wealth Briefing here.
