A Fairer End to Relationships: What the 2026 Family Law Consultation could mean for your finances
Published July 2026
On 5 June 2026, the Ministry of Justice launched a consultation called A Fairer End to Relationships. It’s one of the most significant proposed shakeups to family law in England and Wales in decades, and it covers three areas: how money and assets are divided on divorce, what financial protection cohabiting couples should have when they separate, and whether unmarried partners should have any automatic inheritance rights when one of them dies without a will.
None of this is law yet. The consultation is open for views until 14 August 2026, and any changes that follow will likely take years to reach the statute book. But if you’re currently going through a separation, or you’re not married to the person you live with, it’s worth understanding what’s being proposed and, just as importantly, what your position actually is right now while the old rules still apply.
Why cohabiting couples are the focus
There are more than 3.5 million cohabiting couples in England and Wales, more than double the number thirty years ago. Despite that, the law hasn’t caught up. There is no such thing as “common law marriage” in England and Wales, however long a couple has lived together. If you’re not married or in a civil partnership, you generally have no automatic right to your partner’s property, pension, or savings if you separate, and no automatic inheritance if they die without a will.
A lot of people don’t realise this until it’s too late. Many assume that living together for a certain number of years gives them similar rights to marriage. It doesn’t, and that gap is exactly what this consultation is trying to close.
What’s being proposed for cohabiting couples
The headline proposal is a new statutory scheme for cohabitants who separate. Under the plans being consulted on, couples who have lived together for at least three years could become eligible to make certain financial claims against each other when the relationship ends. Where the couple has a child together, that qualifying period could be shorter, or removed altogether.
The consultation is also looking at what happens when a cohabiting partner dies without a will. Under current intestacy rules, a surviving partner generally inherits nothing automatically, no matter how long the relationship lasted or how intertwined the couple’s finances were. The government is consulting on whether that should change.
A separate but related strand of the consultation deals with domestic abuse, including economic abuse. The proposals recognise that a lack of financial independence can trap people, including victims of economic abuse, in relationships they’d otherwise leave. Any new framework is intended to give those individuals a clearer route to financial security when they do separate.
What’s being proposed for divorcing couples
The consultation isn’t only about cohabitation. It also revisits how financial remedies work on divorce, an area the Law Commission has flagged as unpredictable for years. The government is looking at a “codification-plus” approach: essentially, taking principles that courts already apply through case law, such as sharing matrimonial assets and prioritising children’s housing needs, and setting them out more clearly in statute. The aim is to reduce the scope for wildly different outcomes in similar cases, and to encourage couples to settle earlier rather than heading to a final hearing.
Alongside this, the consultation considers whether prenuptial and postnuptial agreements, referred to in the proposals as Qualifying Nuptial Agreements, should become legally binding where certain safeguards are met, such as both parties getting independent legal advice and full financial disclosure. At the moment, prenups in England and Wales are persuasive but not guaranteed to be upheld by a court. That uncertainty has made some couples reluctant to rely on them at all.
What this means if you’re separating now
This is the part that matters most if you’re dealing with a real separation today rather than reading about future policy. The proposals in this consultation are not law. If you’re a cohabiting couple separating this year, the current rules still apply to you in full, which means the three-year qualifying period being proposed doesn’t help you, however long you’ve lived together.
That’s not a reason to panic, but it is a reason to get proper advice early rather than assuming reform will arrive in time to change your situation. Practical steps like a cohabitation agreement, a clear record of who owns what, and early conversations with a family solicitor still matter under the law as it stands today.
It’s also worth remembering that court timelines don’t pause for consultations. Family court backlogs mean the practical process of separating, whether that’s agreeing a financial settlement or resolving arrangements for children, can take months regardless of what Parliament eventually decides. Where cashflow is tight during that process, for example because assets are tied up in a jointly owned property or a pending settlement, a family law loan or settlement advance can bridge that gap without waiting on either the courts or future legislation.
What happens next
The consultation closes on 14 August 2026. After that, the government will review responses before deciding whether, and how, to proceed. Given how long family law reform has taken to move in the past, cohabiting couples and divorcing couples alike should expect the current rules to remain in place for some time yet. Read the full consultation document for the detailed proposals, and we’ll be tracking the outcome as it develops.
Frequently asked questions
Is there such a thing as common law marriage in the UK?
No. However long a couple lives together, they don’t acquire the same legal rights as married couples or civil partners. This is one of the most persistent misconceptions in family law, and it’s part of why the government is consulting on new protections for cohabitants.
What financial protection do cohabiting couples have right now?
Very little that’s specific to their relationship status. Disputes over property are generally resolved through trust and land law rather than family law, and there’s no automatic right to a partner’s pension, savings, or inheritance without a will.
When will the cohabitation law reforms take effect?
Not for some time. The consultation closes on 14 August 2026, and any resulting legislation would need to go through Parliament afterwards. There’s no confirmed timeline for when, or whether, changes will become law.
What is the proposed three-year qualifying period?
Under the proposals, cohabiting couples who have lived together for at least three years could become eligible to make certain financial claims against each other if they separate. Couples with a child together may qualify sooner. This is a proposal only and is not yet law.
Can I get financial support during separation while the law is under consultation?
Yes. The consultation doesn’t change your position under current law, and separating couples, whether cohabiting or divorcing, often need to manage costs while a financial settlement or court process is ongoing. Products such as family law loans and settlement advances are designed to bridge that gap.
This article is for general information only and does not constitute legal or financial advice. If you’re going through a separation or divorce, speak to a qualified family law solicitor about your individual circumstances. The Level Group is a trading name of Integro Funding Limited, authorised and regulated by the Financial Conduct Authority (FRN: 772858).
Sources: Ministry of Justice, “A Fairer End to Relationships” consultation (launched 5 June 2026, closes 14 August 2026).
