Grieving families hit as probate fees soar up to 76%

GRIEVING families will have to shell out hundreds of pounds when a loved one dies as probate fees have increased by as much as 76%. The cost for applying for probate has risen from as little as £155 to a flat rate of £273. When someone dies, you may have to apply for probate, which […]

GRIEVING families will have to shell out hundreds of pounds when a loved one dies as probate fees have increased by as much as 76%.

The cost for applying for probate has risen from as little as £155 to a flat rate of £273.

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Probate fees have risen, pushing up the costs for grieving families[/caption]

When someone dies, you may have to apply for probate, which gives you the legal right to deal with their estate.

The estate includes any property, money or assets the person owned.

You only have to pay the fee is the person’s assets were worth £5,000 or more – otherwise there is no charge.

But changes to probate fees have been on the cards for years.

Previous proposals suggested bringing in a tiered system, which could have seen some families hit with bills of as much as £6,000 when their loved ones died.

The plans were abandoned after repeated calls for them to be scrapped and accusations that of “cashing in on death“.

Now a flat rate has been introduced, but it will see still the cost of the legal process rocket by 76% for some families.

Previously, probate cost £155 if you went through a solicitor and £215 if you did it yourself.

The flat rate, regardless of which route you take, is now £273.

It came into effect on January 26, 2022 for England and Wales. Probate fees in Scotland are different.

According to the Institute of Chartered Accountants in England and Wales (ICAEW), the two tier system has been abolished because there was no significant difference in cost between the two application methods to HM Courts and Tribunals Service (HMCTS).

The Ministry of Justice said the fee would not produce any profit for the Government, and the service had previously been operating at a loss.

But the timing of the increase has been criticised by some.

Stephanie Boyce, president of Law Society England and Wales, said: “We support the aim to make a simpler, more streamlined process for users of the probate service, and we understand funds are needed to help this change and development.

“However, we query why the UK government has decided to increase fees at this time, particularly as the probate service is still facing delays.

“This is unacceptable, the service must be timely and allow executors to settle a loved one’s estate.”

The increase is the latest in a line of price hikes that struggling families have had to endure.

Already this year, millions of households have seen their energy bills soar and petrol prices jump.

Rising inflation is also pushing up other costs and adding to grocery prices.

What is probate?

Probate is the legal process of dealing with a person’s death.

You need to apply to HMCTS to get probate, either online or by post.

If there is a will, the executor should apply, and if there is no will, the closest living relative can apply.

Before you apply, you’ll need to contact organisations such as banks and utility providers relating to the person who has died.

You’ll also need to get an estimate of the value of their estate, and find out if there is inheritance tax to pay.

Probate might not be needed if the person had jointly owned property or money which will automatically pass to the other owner, or if they only had savings.

HMCTS warns that there is a currently a delay and probate applications are now taking around eight weeks to process.

It could take longer if you submit a paper application too.

A Ministry of Justice spokesperson said: “These fees will fully fund our investment in a first-class digital probate service to ensure shorter waiting times, fewer user and administrative errors and a better experience for families.

“Every penny will go towards the cost of processing probate applications – something that is currently subsidised by taxpayers.”

Can I get help with probate fees?

According to gov.uk, you may be able to get help with probate fees if you are on a low income or receiving certain benefits.

You can apply for help online or by filling in form EX160.

You may also have to send supporting documents and further details, so be sure to check the gov.uk website for all the details.

You will still have to pay the fee, but you’ll get a refund if your application is successful.

The MoJ said applicants who are not eligible for Help with Fees, but who feel they would face undue hardship as a result of paying the fee, can still apply for the fee to be waived via the Lord Chancellor’s exceptional power to remit fees.

For help, you can contact HMCTS on 0300 303 0648 or by emailing contactprobate@justice.gov.uk.

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