The Ministry of Justice has now confirmed that in May the current system for the payment of probate fees is being scrapped in favour of a banded system.
What this means in reality is that the current flat fee rate of £215 (£155 for Solicitor Applications) will disappear. Instead, under the new banded system high net worth estates worth more than £2m in value will face the maximum fee of £20,000.
Partner and Head of our Wills Probate + Tax Planning department is George Persson.
‘This is hugely disappointing and by any stretch of the imagination is a huge increase in probate fees,’ says George. ‘It is effectively a new indirect method of taxation on death and is being applied with little fanfare or publicity. Of course, there will be few estates that will have the new maximum £20,000 fee applied to them, but from May most families dealing with the estate of a loved one where the value is more than £50,000 are now going to find that more money is being paid to the government in fees with less money being made available for the surviving relatives.’
If you want to find out more about the new fees about to come into effect then email George at firstname.lastname@example.org or call him on 01761 409 322