Will pre-nups be given legal status in the UK?

We’ve all heard of famous celebrities and their pre-nup deals to protect their fortunes – the latest reports regarding music mogul Simon Cowell suggest that he has allegedly already drawn up a pre-nuptial agreement which, should he marry girlfriend Lauren Silverman, would give her £20million in the event they should divorce.

Pre-nuptial agreements are drawn up before a marriage and allow couples to set the terms of any future divorce. Whilst not exactly romantic, it’s certainly prudent for anyone wishing to protect any money or assets they bring to the marriage.

At the moment pre-nups are very rarely recognised in the UK courts, with judges instead trying to divide a couple’s assets on the merits of each case. However, that could be set to change as the Government’s law reform advisors look set to recommend a shake-up of the divorce laws which would make US-style pre-nups legally binding here. The package of reforms is likely to outline a new law ‘to consider the treatment of pre-nuptial, post-nuptial and separation agreements’ and may also include rules to deter ‘gold-diggers’. This means that a bride or groom bringing their own assets to a marriage, for example an inheritance or family-owned business or property, would not lose these in the event of a divorce.

The turning point came in 2010 when the Supreme Court judges ruled that German heiress Katrin Radmacher should keep her £100million fortune after her divorce in accordance with the terms of her pre-nup.

Now, after four years of wrangling, the Law Commission has drawn up the ‘Matrimonial Property, Needs and Agreements’ proposals which could pave the way for pre-nuptial agreements gaining full legal status here in the UK.

It’s unlikely that there will be any changes to the law before next year’s General Election as the Justice Secretary Chris Grayling will need to consider the proposals at length. But the Ministry of Justice has said that the Government will consider the recommendations when they are published.

As we’ve said, asking your beloved to sign a pre-nuptial agreement before your marriage or civil partnership may not be the most romantic gesture. But if you have interests to protect in the event of a divorce – and should the law be changed to fully recognise these agreements – then drawing up a pre-nup could be as sensible as making a Will or taking out Life Insurance.

For advice and guidance on drawing up a pre-nuptial agreement, please contact our specialist Family Law lawyers on 0845 548 1007 for a free 20 minute consultation.