19.11.2015

According to recent statistics from the Office of National Statistic (ONS) , Cohabiting couples are the fastest growing family type in the UK.

There are approximately 3.2 million unmarried couples currently living together in the UK, a figure which has doubled since the mid 1990s. The number of children living with unmarried couples has also grown over this time from 0.9 million to 1.8 million and the number of same-sex couples who are not in a civil partnership, who have children is estimated to be around 6,000.

Despite the significant increase in cohabiting couples there is no status in English law as a common-law spouse or partner and this has often led to complicated and protracted legal disputes when they have split up. When a cohabiting relationship breaks down it is often the less financially secure partner who suffers. This is typically the woman who may have stopped working to have children and perhaps has now gone back to work part-time. If the relationship breaks down and the couple split, then a woman in this type of scenario may face real difficulties from a financial as well as an emotional perspective.

The fact is that when married couples divorce or civil partnerships break down, then both parties have a right to their fair share of any assets they have. When it comes to unmarried couples that cohabit with each other then no such rights exist, irrespective of how long they may have lived together or if they have children.

So, as the law currently stands, the only way a cohabiting couple can gain any legal protection should they decide to split up is either get married, enter a civil partnership or draw up a cohabitation agreement.

What is a cohabitation agreement?

A cohabitation agreement is a straightforward agreement that both parties acknowledge and documents how a couple, in the event of a break-up, will:

• Split property
• Split contents
• Split belongings
• Divide savings and other assets
• Manage bank accounts and any debts
• Deal with joint purchases such as a car
• Support their children (if any)

A cohabitation agreement, although appearing a little clinical, is a sensible way forward for unmarried couples to ensure that, in the event of a break-up, there is an amicable agreement in place that will save a lot of hassle and potential acrimony.

Having an up to date will or entering into a trust deed when purchasing a house would also be recommended in order to protect assets for unmarried couples.

To find out more about cohabitation agreements and the importance of leaving a will then please contact us now.