Don’t get caught out by the imminent rise in probate fees
At the end of last year the Government announced significant changes to probate fees.
Probate fees are paid when administering someone's estate after they die. Currently for estates over £5,000 there is a flat fee of £215, or £155 if the application is made through a solicitor. The changes, which are to be implemented in April 2019 mean that fees will now be paid as a sliding scale depending on how much the estate is worth.
Although the threshold at which you'll need to pay probate fees is set to be lifted to £50,000 from April 2019, meaning on estates worth less that £50,000 you won't have to pay any fees at all, estates worth more than £50,000 are set to be charged as follows:
Estates worth from £50,000 up to £300,000 will pay £250, a rise of £35
Estates worth from £300,000 up to £500,000 will pay £750, a rise of £535
Estates worth from £500,000 up to £1 million will pay £2,500, a rise of £2,285
Estates worth from £1 million up to £1.6 million will pay £4,000, a rise of £3,785
Estates worth from £1.6 million up to £2 million will pay £5,000, a rise of £4,785
Estates worth more than £2 million will pay £6,000, a rise of £5,785
Aside from the soaring costs, the personal representatives responsible for administering the estate will also have to pay the fee up front before reclaiming it from the estate once probate has been granted. This can cause serious difficulties and hardship for those having to borrow to meet the now substantial fees.
If you are an appointed personal representative where the estate is worth more than £50,000, and you have not yet applied for probate, do not delay in doing so otherwise you could be faced with substantially higher fees.
We are able to advise on the process of administering an estate, or indeed able to handle to handle the administration of an estate on your behalf. Contact us on 01306 877592 or at firstname.lastname@example.org for an initial discussion.