The consequences of the falling divorce rate and the risks of living together for unmarried couples
The Office for National Statistics has released its annual divorce and civil partnership dissolution rates and numbers. In 2022 there were 80,057 divorces in England and Wales a 29% decrease compared to 2021 and the lowest number of divorces since 1971. Fewer people are getting married which is likely of course to have an overall impact on the number of divorces. Many couples are now choosing to live together without getting married first. The majority of these couples are choosing to live together forever without ever planning on getting married. In fact, one in four unmarried couples are now sharing a household.
MPs have recently made fresh calls for review of the law in relation to cohabitation. Concerns have also been raised in the legal community about the lack of formal agreement between unmarried couples who choose to live together.
Concern has been raised that not enough is being done to raise awareness of the risks associated with cohabiting unmarried couples, which may negatively impact women and children the most.
Cohabitation has seen a significant rise in popularity with, one in four unmarried couples now sharing a household, an increase from 20.6% in 2011 to 24.3% in 2021 across all age groups. Unmarried cohabiting couples are commonly impacted in four keyways compared to married couples. These include:
- Cohabiting partners cannot claim ownership of each other’s property in the event of a break-up.
- Cohabiting partners cannot claim spousal support if the relationship breaks down.
- Cohabiting couples will not inherit anything from the partner unless specified in a will.
- Cohabiting couples do not have automatic right to benefit from their partner’s pension unless they are named formally as a “nominated beneficiary”.
The advantage of marriage is that it offers legal and financial security, simplifying asset division and estate planning unlike cohabitation. However, there are ways that cohabiting couples can provide some level of surety and protection if the relationship breaks down. One sensible way is for the parties to consider putting a Cohabitation Agreement in place.
Without a Cohabitation Agreement there is no straightforward fall-back position which disproportionately affects women with children after relationship breakdowns. The fall in rates of marriage may see these agreements become more common practice in the future as marriage rates drop and more couples choose to live together.
Couples can also agree their rights and set them out in a Cohabitation Agreement. This is a legally drafted document that sets out who owns what and in what proportion and lets couples document how they will split their property, its contents, personal belongings, savings and other assets should the relationship break down. Cohabitation Agreements can also cover how the couple will support their children over and above any legal requirements to maintain them.
If you would like to consider making a Cohabitation Agreement, please contact a member of our experienced family law team. Call 033 3344 9600 or email [email protected].
Author: Noelle Heath, family law.
