UK insurance company, Aviva, has recently revealed that divorcing couples need to be aware that they can split their pension during the process, as many do not know.
Plus, with the no-fault divorce starting last month, experts expect the number of divorces to rise in the coming years.
The Office for National Statistics (ONS) show that in 2020 there were 103,592 divorces granted in England and Wales – this already high figure will continue to increase, and couples need to know how they are affected.
According to Aviva, 15 per cent of divorced people were unaware that their pension could be impacted by getting a divorce. 34 per cent did not claim their ex-partner’s pension, and it was therefore not included as an asset in the divorce settlement.
However, almost eight per cent of divorcees revealed that they do not have pension savings as they were relying on their former partner to finance their retirement.
This research uncovered that nearly 20 per cent of divorced people, or those going through a divorce, think they are or will be worse off significantly in retirement.
How can we help?
A key issue for any divorcing or separating couple is resolving the financial arrangements. We can help make the divorce process easier on you by advising on financial settlements. If you cannot arrange an agreement directly with your spouse, we recommend Mediation.
Make sure you get your share within the divorce process. Contact us today for advice on divorce law or mediation.