In the UK, cohabiting couples are not afforded the same legal protections as married couples, especially when it comes to the split of assets in the event of a separation. Cohabiting spouses do not automatically claim each other’s pension entitlements upon separation, in contrast to a divorce where pensions are regarded as marital assets and distributed appropriately.

Pension Schemes and Cohabiting Partners

The kind of pension scheme can have a big impact on whether a former partner can make a claim. For instance, a 2017 Supreme Court decision in Northern Ireland allowed an individual access to her late partner’s local government pension plan, highlighting the possibility that public sector pension plans contain special guidelines for cohabiting spouses. These are exceptions, though, and largely rely on the regulations of each particular pension scheme. Unless specifically mentioned, cohabiting partners are not covered by the majority of private pension plans.

The Importance of Proactive Legal Planning

Cohabiting couples must take proactive measures to preserve their financial interests because they are not automatically protected by the law. The cohabitation agreement is one such instrument. In the event of a separation, this agreement might specify how assets, such as pensions, should be managed. A well-written cohabitation agreement clearly outlines each partner’s financial rights and expectations, even if it is not as legally binding as a marriage. In the event that disagreements emerge over the distribution of the assets, it may also be a crucial piece of evidence in court.

Cohabitation Agreements: A Safety Net for Unmarried Couples

A cohabitation agreement might cover a number of financial topics, such as pension sharing, debt repayment, and property ownership. It can outline the treatment of each partner’s assets, both those obtained during and before cohabitation, in the event of a separation. These agreements provide a considerable amount of legal clarity and protection, even though they are not as binding as marital contracts.

My name is Atty Lindoven Magsino, BSc, MBA, GDL, LLM, DBA (cand). I am a member of the UK Law Society. My SRA License No: 644167. I am a qualified Solicitor (Attorney-at-law). We also have an office in Kilburn (Central London) Appointment Only.  I am a Consultant Solicitor of MBM Solicitors and Parity Legal. My Landline / Direct Mobile: 07446 888 377. You can message me on: don@mbmsolicitors.com, d.magsino@paritylegal.co.uk and attydonmagsino@gmail.com or FB messenger: Atty Don Magsino Solicitor https://www.facebook.com/@donmagsino.official/