The UK government is considering new proposals that could grant unmarried couples, or cohabiting couples, stronger financial rights if they separate. The Ministry of Justice (MoJ) has launched a consultation on the matter, which could significantly impact couples living together who are not married.
Under the proposed changes, couples who have been living together for at least three years or share a child could qualify for new protections. These rights would not mirror those of married couples, nor would they focus on the general sharing of resources. Instead, the focus would be on providing a financial safety net for those in need.
Specific provisions could include a partner being awarded a lump sum, a transfer of property, or a share of a pension, but only if it is deemed necessary to meet basic needs. These changes are seen as potentially "transformational" for individuals experiencing domestic violence or coercive and controlling behavior, who may find it difficult to leave abusive relationships due to financial dependence.
"We're really pleased to see this consultation," said Sam Smethers, CEO of the charity Surviving Economic Abuse. She noted that under the current system, individuals in cohabiting relationships who face economic abuse are often forced to leave their homes, savings, and financial security behind to escape the abuse. The existing legal avenues for accessing property after a separation are described as costly, difficult to pursue, and not always successful.
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The proposals also include an opt-out system, allowing couples to mutually forgo these new rights, provided certain safeguards are met. These safeguards could involve obtaining independent legal advice and disclosing financial situations to each other. Advocates suggest this opt-out mechanism is crucial, as many individuals discover too late that they have no legal rights upon the end of a relationship.
However, the proposals have drawn some criticism. Some individuals who have deliberately chosen not to marry to maintain financial separation have expressed concerns that an opt-out system would create unnecessary hurdles to preserve their financial independence. Critics argue that the default should remain financial separation unless actively chosen otherwise.
Further issues have been raised by other organizations. Selina Flavius from the charity Widowed and Young highlighted that beyond financial matters, individuals would also like to see legal entitlements related to funeral planning and bereavement support payments addressed in such reforms.
The current legal framework in England and Wales offers limited financial protections for unmarried couples upon separation, a situation that these proposed changes aim to address. The consultation period will determine the final shape of any potential new legislation.