Divorce settlements aren’t the same for every couple.
Instead of being a copy-and-paste legal document with a rigid 50/50 split of assets, these agreements are created on a case-by-case basis, so there’s no ‘average divorce settlement in the UK’.
However, with a little bit of background information, the highly knowledgeable and experienced divorce lawyers at Freeman Jones can help you to understand the most likely outcome of your case.
Our family law team has supported countless couples and sole applicants with navigating their divorce settlements by providing expert guidance on a wide range of related topics, including child arrangement orders and no-fault divorce.
To support your understanding of divorce settlements and how they’re determined by a court, this article explores the most common arrangements as well as various fair divorce settlement examples in the UK.
What is the most common divorce settlement in the UK?
While the most common starting point for a divorce settlement in the UK is often a 50/50 split of matrimonial assets, this may not be the result.
This is because the court’s primary aim is to reach a fair (but not necessarily equal) division of assets and finances between the parties, and to achieve this objective, the court must consider a wide range of factors.
Among these are the number of dependents and their housing needs, the length of the marriage, and the contributions of both parties, as well as the income and earning capacity of each party.
In some cases, a fair divorce settlement will be a 50/50 split of matrimonial assets, whereas in others, a 70/30 split may be considered more appropriate to fairly reflect the contributions of both parties.
Typical UK divorce settlement examples
Due to the many different factors that can have a hand in the fair division of matrimonial assets, our expert legal team has put together some hypothetical fair divorce settlement examples.
Is there an example that’s close to your own personal or financial circumstances?
Speak to our divorce and family law team today on 01244 506 444 to arrange your free, 20-minute initial consultation.
Mark and Emily: fair and equal divorce settlement
At the time of initiating divorce proceedings, Mark and Emily had been married for six months and didn’t have any children.
Both parties were also successful medical professionals, earning a similar salary of around £65,000 per year.
They shared one savings account with a value of £40,000 and rented a property together since being married. Due to the short length of their marriage, the lack of children, and the similar income, a clean break divorce is most likely.
This means both parties will exit the marriage with a straightforward 50/50 split of matrimonial assets (including £20,000 each from the savings account) and there will be no ongoing ties between the two parties, such as spousal maintenance payments.
This type of arrangement is known as a clean break divorce and helps to prevent future claims from ex-spouses against the other’s assets or finances.
Jane and Louis: fair but unequal divorce settlement with children
When Louis and Jane decided to divorce, they had been married for 18 years and shared three children together. Jane was and remains a high-earning lawyer with a wage of around £250,000 per annum, while Louis put his career (£35,000 per year) on pause to raise the couple’s children.
They bought a joint family home for £500,000 and used Jane’s wage to make the mortgage payments.
They also have a joint savings account of £50,000, a family car, and two of their three children are under 18 and still living at the family home.
As a result of the dependent children and the length of their marriage, it’s most likely that Louis will keep the family home to continue to raise the children until the youngest child turns 18 or finish full-time education.
At this point, the property will be sold and the equity split, with Louis receiving a greater share due to his lower earning potential.
Louis will also retain the family car for school runs and be entitled to a significant share of Jane’s pension to ensure a fairer retirement position.
Their savings account will likely be split equally, and Jane will be required to contribute to the children’s living and housing expenses and pay ongoing spousal maintenance to Louis as he retrains to start work again.
Despite not contributing to the finances of the household, the court recognises Louis’s considerable contribution to the family’s childcare, resulting in an unequal, but fair, financial divorce settlement.
Cameron and Anita: fair but unequal divorce settlement with no children
At the time of initiating divorce proceedings, Cameron and Anita had been married for 10 years.
They decided not to have any children, with Cameron focusing on his career as a general practitioner earning £75,000 per annum, while Anita earned a yearly wage of £29,000 as a marketing executive.
Divorce proceedings were initiated by Anita as a sole applicant following Cameron’s adultery.
They purchased a house together at the beginning of their marriage for £250,000 and made monthly joint payments, leaving £67,000 owed after 10 years.
Despite Cameron earning significantly more than Anita, it’s likely that both will receive an equal share of the matrimonial assets, including the equity from the sale of the property, unless it was determined that Anita would not be able to support herself.
If she were unable to reasonably support her own separate living and housing costs, Anita may be entitled to a slightly greater share of the property equity.
However, it’s unlikely that any ongoing spousal maintenance would be required as neither party sacrificed their career to raise children or become a homemaker, so courts tend to favour a ‘clean break’ arrangement where possible. The adultery offence will not impact the financial settlement.
How Freeman Jones can help
While these fair divorce settlement examples in the UK can offer you a clearer idea of what you may be entitled to, it’s crucial that you seek tailored legal advice from an experienced family law solicitor.
By discussing your specific personal and financial circumstances with a member of our team, we can help you to navigate complex legal jargon and protect your interests with a fair financial settlement.
Regardless of whether you’re considering starting divorce proceedings as a sole applicant or have come to a joint decision with your spouse, why not start the divorce settlement conversation today by giving Freeman Jones Solicitors a call on 01244 506 444?
Alternatively, you can also arrange a more convenient time and date for your free, 20-minute initial consultation via email at info@fjsolicitors.co.uk or our online contact form.
