Think you’ve made a clean break? Think again
5th June 2025
DIY divorcees urged to seek legal advice now to avoid financial pain in the future
Divorced couples are leaving themselves exposed to the risk of future financial claims from their ex-spouses by not formally finalising financial settlements, warns our Family & Matrimonial team.
Those who apply for a divorce online are often not aware that this will only end the marriage – a divorce does not end the financial links between a couple says Kate Booth, Head of Family and Matrimonial.
“If, after a divorce you go on to earn good money and build a decent nest egg, or if you win the lottery or make a substantial sum on the sale of a house, as the law stands your ex has every right legally to make a claim against you unless you obtained a financial clean break.
This is even more of a risk if illness or accident has left your ex out of pocket or unable to work and where the court considers they need financial provision.
We advise couples with no joint assets to still formally cut all financial ties.
We would still advise people to ensure they have a clean break from their ex at the point of divorce in the form of a Consent Order. They don’t need to go to court for this – it can be submitted for a judge to approve on paper.
Couples who are avoiding solicitors’ fees to save money, for example in the case of amicable spouses who decide to organise their divorce and assets themselves, could end up paying more in the long run.
We’ve had clients approaching us for help when their ex-spouse has come back to make a claim on the former family home. In the time they’ve been separated the client may have carried on paying the mortgage and the property has increased in value, so their ex may feel they have nothing to lose by making a claim.
We have also advised clients who agreed when they separated that one would keep the house while the other retained their pension.
While this may suit at the time of separation, the person who has agreed to keep the house must factor in that they will also need an income after they retire.
This won’t matter so much if the couple is in their 20s or 30s and they still have time ahead to build up their own pension, but if they’re older it’s something they need to think about. If one person focused on raising the children while their partner was the breadwinner, they may have limited – if any – pension of their own.
When deciding how the assets should be shared, it is important to look at the how their needs can be met when they retire.
This is something both parties need to think about.”
For further advice on the above, or for any other family or matrimonial law related matter, please contact our expert team who will be happy to assist.