What happens to a family business on divorce?

  When there is a family business, it will form part of the financial settlement in divorce proceedings.  A ‘business’ includes limited companies, partnerships and sole traders. It is in the interests of both parties to reach an agreement amicably without the stress, cost and delay of court proceedings. It is advisable to seek prompt specialist advice, from a family law practitioner and other relevant experts, including an accountant.  The first step is for the parties to try to agree about the value of the business.  In cases where the business purely provides an income with no realisable capital, the value can usually be ascertained by looking at the net assets on the balance sheet.  In cases of private companies with realisable capital, an expert can be jointly instructed to provide a valuation. There are often challenges in trying to establish…

Anticipating Tax Reforms: What farmers and family businesses need to know

As we move towards Spring 2025, rural family businesses remain in a period of uncertainty regarding potential capital tax reforms. While the Autumn Statement in October 2024 hinted at changes to inheritance tax and capital gains tax, we are still awaiting further details, expected to be rolled out in Summer 2025. For farmers and rural enterprises, this continued uncertainty raises concerns about the future of agricultural and business property reliefs. These reliefs have long been critical in helping farming families pass land, buildings, and business assets down through generations without financial strain. While the government has yet to confirm any changes, speculation about tax reforms often leads to anxiety and a temptation to act pre-emptively. However, rushing into decisions—such as transferring assets prematurely—could have unintended consequences, including business disruption and family disputes. Instead, now is…

Laura Schofield, Head of Wills & Probate at Wetherby urges families to act now and plan ahead for upcoming changes to inheritance tax

Families in Yorkshire are being urged to take action to safeguard their financial future ahead of upcoming changes to inheritance tax (IHT) rules.  The latest budget announced a freeze on the IHT nil rate band and residence nil rate band thresholds until 2030, meaning more families are likely to be impacted as property values continue to rise. Changes to tax relief on certain assets and adjustments to pension rules will see more estates facing unexpected tax liabilities. Laura Schofield, Head of Wills & Probate at Ware & Kay in Wetherby warns that failing to plan ahead could result in significant financial losses for loved ones, with many unaware of the options available when it comes to planning to mitigate IHT. New research from The Association of Lifetime Lawyers, a membership body of expert lawyers from…

  What are the options if you believe there is a mistake in a Will?

The importance of leaving a Will cannot be stressed enough – it allows someone to pass away safe in the knowledge that they have provided for their loved ones and their assets will be distributed according to their wishes. ‘Some people think that it is unnecessary and costly to use a solicitor to draft their Will, relying instead on off-the-shelf or do-it-yourself methods,’ says Julie Bradwell, Associate and C.T.A.P.S. Registered Contentious Trust and Probate Specialist in the Litigation Department with Ware & Kay Solicitors. ‘However, there are many potential pitfalls when it comes to drawing up a Will, and the cost of getting it wrong can be high indeed.’  Julie Bradwell explains the options if you have been surprised by the contents of a Will and believe that there may have been a mistake. Problems with…