Jan 2025
Monday 6th January, often referred to as “Divorce Day” in the UK, marks a time when many couples seek legal advice about ending their marriage. However, recent research suggests that financial pressures are causing many to put those plans on hold. According to a 2024 report by Legal and General, over 270,000 people have delayed their divorce due to the rising cost of living.
Approximately 19% of couples that responded to the survey have said they have postponed separating because of financial difficulties.
Other factors can also come into play because economic uncertainty can also have an impact on housing, especially if there are plans to sell the family home, or purchase another one after the separation. Ironically, while strained finances can sometimes be the catalyst for relationship breakdowns, they can also bind couples together, creating a scenario where neither party feels they can afford to separate.
Legal & General’s findings show that while financial concerns are causing delays, they’re also influencing how couples approach their divorce settlements.
Only one in five couples considered pensions when dividing assets, whereas 58% prioritised the family home. Surprisingly, financial constraints have now overtaken commitment to children as the primary reason couples feel unable to separate. Of those surveyed, 28% said they simply could not afford a divorce, while 25% reported that only one partner had the financial means to proceed.
The financial burden of divorce is disproportionately felt by women that are primary caregivers, as they often face reduced earning capacity.
Statistics from the Fawcett Society’s #EqualPayDay campaign (link to: ttps://www.fawcettsociety.org.uk/equal-pay-day-2022)h highlights that 35% of women want to work more paid hours but are held back by limited flexible working options, caring responsibilities, and costly childcare.
The gender pay gap compounds this issue. Women, on average, take home £564 less per month than men, up from £536 in 2021, according to the same Fawcett Society report. Additionally, figures from Gov.uk show that men’s average savings stand at £30,089, compared to women’s £27,098.
Divorce doesn’t have to break the bank
As living costs rise, it’s likely we will see more couples feeling trapped in their marriages due to financial pressures. However, it’s important to note that divorce doesn’t have to be prohibitively expensive. Amicable separations often cost significantly less, as they avoid lengthy court battles and associated fees.
We always recommend maintaining open communication with your spouse and seeking mutual agreements wherever possible. Doing so can simplify the legal process, reduce costs, and minimise stress for both the couple and any children involved.
If you are considering divorce and would like professional advice, contact Downs Solicitors to learn more about how we can support you through this challenging time.
