How The Cost Of Living Crisis Is Affecting Divorce & Financial Settlement

The ‘cost of living crisis’ appears to be having a significant impact on financial settlements and divorce proceedings for couples up and down the country. Family Law Solicitor, Leonnie Watson, discusses in her latest blog…

Until Debt Do Us Part

Ultimately the cost of living crisis has impacted everyone in one way or another. It has also brought with it the possibility of an increase in marital and family breakdowns due to heightened tensions and money difficulties. Equally, it may also be forcing unhappy couples and/or families to stay together because they are worried about the adjustment from a household with two incomes to a household with one.

What Does The Cost Of Living Crisis Mean For Financial Settlement?

The outcome of any financial settlement must take into account the fact that both parties need to be able to meet their own housing needs as well as being able to financially provide for themselves and any children of the family.

If the cost of living does impact your finances negatively and you have concerns that you are going to suffer financial hardship because of your separation, it will be taken into consideration by the courts when deciding what will be a ‘fair’ settlement in your circumstances.

Financial disclosure is important at the outset of these types of matters as you are given the opportunity to state not only your current income needs but also your future expected income needs. It can also assist in coming to a settlement quicker when there is financial transparency between the parties.

What Should I Do?

Many people may be concerned that they are not in a position to afford to separate – whether that relates to various aspects such as funding separate accommodation until a final settlement order is reached, or the likely costs in negotiating a separation.

Despite the uncertainties, it is sensible to take advice as early as possible because there are options and ways to resolve situations.

How Can Timms Help?

If you need help or advice, please feel free to contact me or any one of my Family Law colleagues on 01332 364436 or via email at legal@timms-law.com.