UK families will now be hit with ‘eyewatering’ £526 fee – started on July 13 | Personal Finance | Finance
Grieving families have been hit with a 75% increase in fees to sort a loved one’s estate. From Monday, July 13, the cost of applying for probate rose from £300 to £526 due to inflation and investment in a modern service, according to the Ministry of Justice. Probate is the legal process of dealing with the estate of a person who has died and ensures the right people inherit any money or assets. It equally ensures that any outstanding taxes or debts are paid. You need to apply for probate if a person’s estate is worth more than £5,000.
The cost to apply for probate was already increased from £273 to £300 in May 2024. Families will also need to pay inheritance tax on a loved one’s pension after they pass away from next year, following a new rule that aims to stop people from using pensions as a loophole to avoid paying inheritance tax. Under the current rules pensions that you didn’t spend during your lifetime can be passed on to a loved one without needing to pay inheritance tax. However, there will be a separate reduced fee for when someone requests copies of probate documents within their probate application. The fee will be slashed from £16 to £2 to better reflect the cost of that service.
Ian Bond, a solicitor specialising in wills, trust and probate, told Law Gazette: “I can imagine many probate practitioners will not be happy with the new fees.” He said the increase comes at a time when the probate service backlog is increasing and the service levels on complex matters are regressing.
Heather Parker, head of private client at Nottingham firm Actons Solicitors, added: “Over recent years we’ve seen these fees more than double all in the name of better systems, better efficiency, better user experience.
“In reality though we are still seeing families wait months at a time, during what is already a period of grief and stress for their application to go through the system and it is hard to justify the increase in costs to clients when there is no discernible improvement in the service being provided.”
You need to submit an application to HM Courts & Tribunals Service (HMCTS) to apply for probate. This can be done online or by sending your application by post.
If the deceased left a valid will, the named executor is responsible for applying for probate. If there is no will, the application can usually be made by the deceased’s closest surviving relative.
This fee only applies where the value of the deceased’s estate is £5,000 or more. If the estate is worth less than £5,000, no probate fee is payable.
If you are on a low income or receive certain benefits, you may qualify for financial assistance with the probate fee and other court costs.
