Overview

This bill aims to reform the rules around financial settlements after divorce in England and Wales. It focuses on clarifying the division of assets and the weight given to prenuptial and postnuptial agreements, while minimizing the consideration of a spouse's behavior.

Description

The bill significantly amends the Matrimonial Causes Act 1973. Key changes include:

• Matrimonial Property: The bill defines "matrimonial property" as assets acquired during the marriage, excluding gifts or inheritances. It mandates a fair (generally equal) sharing of this property, with exceptions for unequal sharing in specific circumstances (e.g., destruction of assets by one party, needs of children).
• Prenuptial and Postnuptial Agreements: These agreements will be legally binding unless certain conditions aren't met, such as lack of independent legal advice or inadequate disclosure of assets. If binding, the court can only make orders where the agreement doesn't cover a specific aspect.
• Periodical Payments: The bill sets guidelines for periodical payments (e.g., alimony), focusing on economic contributions during the marriage, the fair sharing of childcare costs, and reasonable support to allow for adjustment post-divorce. These payments generally end upon the death or remarriage of the recipient.
• Conduct: A party's conduct is generally not considered, except in cases where it significantly impacted the financial resources or where it would be manifestly unfair to ignore it.

Government Spending

The bill's impact on government spending is not directly stated in the provided text. It's likely to have an indirect effect, potentially influencing court caseloads and associated administrative costs, but no figures are available.

Groups Affected

• Divorcing Couples: The bill directly affects the financial outcomes of divorce settlements, potentially leading to more predictable and fairer distributions of assets.
• Children of Divorcing Couples: The bill considers the needs of children under 21 when determining the financial division, influencing the financial support they receive.
• Legal Professionals: The bill may increase the demand for legal services specializing in divorce and family law due to the greater emphasis on pre- and post-nuptial agreements.

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