When a marriage or civil partnership ends, the division of property is often the most contested issue. Courts in most jurisdictions do not apply a simple 50/50 rule. Instead, they balance a range of financial and non-financial factors to reach a fair outcome.

The Starting Point: Matrimonial vs Non-Matrimonial Assets

Courts generally distinguish between assets built up during the marriage (matrimonial assets) and those brought into the marriage or inherited (non-matrimonial assets). The former are more likely to be divided equally; the latter may be ring-fenced, especially in shorter marriages.

Matrimonial assets typically include:

  • The family home and any investment properties purchased during the marriage
  • Savings, investments, and pension accrued during the marriage
  • Businesses built up jointly

Factors Courts Consider

In England and Wales, for example, the Matrimonial Causes Act 1973 requires courts to consider:

  • The financial needs, obligations, and responsibilities of each party
  • The standard of living enjoyed during the marriage
  • The age of each party and length of the marriage
  • Any physical or mental disability
  • Contributions made by each party, including non-financial contributions such as childcare

The Family Home

Where children are involved, courts often prioritise keeping the primary carer and children in the family home, at least until the children reach adulthood. This can be achieved by a mesher order — delaying sale until a trigger event — or by offsetting the home against other assets.

Pensions

Pension assets accrued during the marriage are treated as matrimonial property. Options include pension sharing orders (splitting the pension at source), pension offsetting (trading pension value for other assets), or pension attachment orders.

Reaching Agreement

The vast majority of financial settlements are reached by agreement, often through solicitor negotiation or mediation, and then formalised by consent order. Going to a final hearing is expensive and unpredictable for both parties.

This guide is general information, not legal advice. Consult a qualified family law solicitor for advice specific to your circumstances.