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The statutory legacy sum and its impact on bereaved families

There is never a positive circumstance when handling the death of a loved one.

In some cases, these tragic moments in our lives can take the people we love most away without any warning, to the point that no Will had been prepared by the deceased prior to their untimely passing.

A situation such as this is known as intestacy and can leave grieving families with the extra stress and worry of no legal document to support them in recovering the estate.

However, legislation does support people who suffer from this scenario, with something known as the statutory legacy sum.

The statutory legacy sum is the amount a surviving spouse or civil partner is entitled to if their deceased partner dies intestate.

The remainder of a person’s estate is then split 50:50 between the surviving spouse and any children.

The statutory legacy sum

The current statutory legacy sum stands at £322,000. This amount is significant not only for those drafting their Wills but also has broader implications amidst the ongoing cost-of-living crisis.

This amount is a result of amendments to the Administration of Estates Act 1925, implemented in 2014 following recommendations from a 2011 Law Commission report.

The aim of these changes was to modernise and simplify the law, creating a fairer and more logical set of rules.

This, in turn, makes the process of administering an estate faster and easier for people during a difficult and emotional time.

The statutory legacy sum is particularly beneficial in the current economic climate. With the cost-of-living crisis and rising inflation, many are struggling financially.

The statutory legacy sum is reviewed every five years or when the inflation rate increases by 15 per cent or more from the base rate applicable when the statutory legacy was previously set.

This trigger point was reached in December 2022, prompting the Government to review the sum.

The current sum of £322,000 was set in accordance with the change in the Consumer Price Index (CPI).

Considering life after a loved one has passed is not a conversation many will want to have, especially if their age and health show no signs of any immediate threat to their lives.

However, life, unfortunately, has a habit of taking a turn for the worse when we least expect it, so it is important to consider preparing a Will to avoid any problems from intestate deaths.

While the statutory legacy sum benefits tens of thousands of people in the UK, intestate deaths can provide additional stress and trauma for those in mourning.

If a Will is in place, loved ones will at least have the assurance that the estate will be handled efficiently and give those grieving some respite.

Are you considering drafting a Will? Our expert Wills and Probate team are here to help. Please contact us today.

Rachel Blackburn

Head of Wills, Probate and Older Client Services

I joined Mander Hadley’s Wills, Probate and Older Client Services Team in 2018.I specialise in the preparation of Wills, Probate and estate administration, trusts and trust administration and Lasting Powers of Attorney. I also have experience of care fee planning and appeals of Continuing Health Care decisions.

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