01 Sep A ‘Fairer End to Relationships’ Government consultation on cohabitation reform
The UK Government has now closed its “A Fairer End to Relationships” consultation, which sought views on whether the law (in England and Wales) should provide better financial protection when cohabiting couples separate.
Katharine Scoot, partner and Family Law Solicitor at HRJ Foreman Laws solicitors explains what it could mean for cohabiting couples and what is available today to protect them.
What is the Government seeking to achieve?
The Government is considering whether separating cohabitants should have access to a clearer and fairer system for resolving financial disputes.
At present, couples who live together do not automatically acquire the same legal rights as married couples or civil partners. There is no legally recognised status of “common-law marriage”, regardless of how long a couple has lived together or whether they have children.
The consultation sought views on matters including:
- Who should qualify for financial remedies?
- Whether eligibility should depend on the length of the relationship or the couple having children
- What financial orders a court should be able to make
- Whether claims should be based on financial need, contributions or economic disadvantage
- Whether couples should be able to opt out of the proposed scheme
- How any new rights should operate alongside existing property, inheritance and family law.
The aim is not necessarily to give cohabitants the same rights as spouses. Instead, the Government is examining whether limited and proportionate protections could address unfairness when a relationship ends.
Why is reform important?
Cohabitation is increasingly common, but public understanding of the law remains limited. Many people wrongly believe that living together for several years creates the same rights as marriage.
In reality, a separating cohabitant may have no automatic claim against a former partner’s income, pension, savings or property.
This can cause particular hardship where one person has stopped or reduced work to care for children, paid household expenses while the other accumulated assets, contributed towards a home without becoming a legal owner, worked in their partner’s business without proper payment, or become financially dependent during a long-term relationship.
Existing claims are often based on complex property and trust law. They may be expensive, uncertain and poorly suited to the practical consequences of a family relationship ending.
What could the benefits be?
A carefully designed scheme could:
- Provide clearer rights and responsibilities
- Reduce the risk of serious financial hardship
- Recognise relationship-generated disadvantage
- Improve protection for primary carers and children
- Make disputes quicker and less costly to resolve
- Reduce reliance on complicated trust and property claims
- Allow couples to make more informed decisions about living together.
Any reform would also need safeguards. These may include clear qualifying conditions, reasonable time limits and the ability for couples to opt out after receiving appropriate information.
What happens next?
The Government will review the information submitted by individuals, legal professionals, charities and other interested organisations. It may then decide to introduce legislation, carry out further consultation or retain the existing law.
No new rights arise simply because the consultation has been launched. Any reform would require legislation and would only take effect from the date specified by Parliament.
How can cohabiting couples protect themselves now?
Until the law changes, there are several steps cohabiting couples can take to clarify their financial arrangements.
1. Cohabitation agreement
A written cohabitation agreement can set out ownership of property and other assets, responsibility for rent, mortgage payments and household expenses, the treatment of savings and debts, arrangements for children’s expenses, and what should happen if the relationship ends. It should be properly prepared, entered into freely and supported by full financial disclosure.
2. Declaration of trust
Where a couple owns or contributes towards a home, a declaration of trust can state each person’s beneficial share and how sale proceeds will be divided. This is particularly important where contributions are unequal.
3. Review property ownership
Couples should understand whether their home is held as joint tenants or tenants in common. The form of ownership can affect each person’s share and what happens following death.
4. Make wills
An unmarried partner does not normally inherit automatically if the other dies without a will. Each partner should consider making and regularly updating a will.
5. Check pensions, insurance and death benefits
Couples should review pension nominations, life insurance, workplace death-in-service benefits and other beneficiary arrangements. A nomination may be required before an unmarried partner can receive payment.
6. Keep financial records
Records of deposits, mortgage payments, renovations, loans and other substantial contributions may be important if a later dispute arises.
The future of cohabitation rights
The consultation represents an important review of how the law treats cohabiting couples when relationships end. Reform could provide greater clarity and protection, particularly for those who have suffered financial disadvantage during a relationship.
For now, however, cohabitants remain subject to the existing law. Clear written agreements, appropriate property arrangements, wills and accurate financial records remain the most effective ways to reduce uncertainty.
For more information
- Podcast – Do cohabiting couples have any legal rights?
- Solicitors to help cohabitating couples protect their rights
- What is a cohabitation agreement?
- Video – Cohabitation agreements. Know your rights if you are living together.
For legal advice
- Email info@hrjforemanlaws.co.uk
- Call Hitchin, 01462 458711, Welwyn Garden City, 01707 887700, Old Harlow 01279 709 100.
- Complete our contact form here