The Importance of Having a Will: UK Estate Planning Basics

Why So Many UK Adults Don't Have a Will

Despite its importance, around 60% of UK adults don't have a will. The reasons are typically procrastination ("I'll do it when I'm older"), the mistaken belief that their wishes will be automatically followed, or discomfort with confronting mortality. None of these reasons stands up to scrutiny. The consequence of dying without a will (dying "intestate") can be significant financial and emotional hardship for the people you leave behind.

What Happens If You Die Without a Will

If you die intestate in England and Wales, your estate is distributed according to the rules of intestacy — a fixed legal formula that may not reflect your actual wishes:

• If married/civil partnership with children: spouse inherits the first £322,000 plus personal possessions, then half of the remainder; children share the other half
• If married/civil partnership without children: spouse inherits everything
• If unmarried with children: children inherit everything in equal shares
• If unmarried without children: estate passes up the family tree (parents, then siblings, then more distant relatives)
• If no relatives can be identified: the estate passes to the Crown

Critical point: unmarried partners — regardless of how long they've been together — inherit nothing under intestacy rules. If you're living with a partner but aren't married or in a civil partnership, they have no automatic right to any part of your estate. A will is essential to protect them.

What a Will Can Do

• Specify who inherits what (including unmarried partners)
• Appoint guardians for minor children
• Leave gifts to charities
• Create trusts for vulnerable beneficiaries or minor children
• Specify funeral wishes
• Appoint executors to manage the estate administration
• Reduce inheritance tax liability through strategic planning

Inheritance Tax: The UK Framework

Inheritance Tax (IHT) is charged at 40% on the value of an estate above the nil-rate band (NRB) of £325,000. The residence nil-rate band (RNRB) adds a further £175,000 allowance when a main home is left to direct descendants, giving a potential total of £500,000 free of IHT for an individual.

Married couples and civil partners can transfer their unused NRB to the surviving spouse, effectively giving a combined exemption of up to £1,000,000.

Key IHT planning through wills includes:

• Leaving everything to a spouse (inheritance between spouses is IHT-free)
• Charitable bequests (gifts to charity reduce the taxable estate and may reduce the IHT rate to 36% if 10% of the net estate goes to charity)
• Establishing trusts for future generations
• Using annual gifting allowances (£3,000 per year) and other exemptions during lifetime

Making a Will: Your Options

DIY Wills

Will-writing kits are available from stationers and online. While cheaper, DIY wills carry significant risks: incorrect execution (a will must be signed in the presence of two witnesses who are not beneficiaries), ambiguous wording, and failure to account for all circumstances can render the will invalid or lead to disputes.

Solicitor

A qualified solicitor will ensure your will is correctly drafted, executed, and stored. Costs typically range from £150–£500 for a simple will, £400–£1,000 for mirror wills for a couple. For complex estates or tax planning, specialist private client solicitors are appropriate.

Online Will Services

Regulated online will-writing services (such as Farewill or Bequeathed) offer a middle ground — guided will creation at lower cost than a solicitor but with more oversight than a pure DIY kit. Costs typically range from £90–£200 for a straightforward will.

Lasting Power of Attorney

A will only takes effect on death. A Lasting Power of Attorney (LPA) is equally important — it allows you to appoint someone to manage your affairs if you lose mental capacity during your lifetime. There are two types:

• Property and Financial Affairs LPA: Manages bank accounts, investments, property
• Health and Welfare LPA: Makes decisions about medical treatment and care

An LPA can only be made while you have mental capacity. Once capacity is lost, it's too late. Register both types with the Office of the Public Guardian.

Reviewing Your Will

A will should be reviewed after major life changes: marriage (which automatically revokes a previous will in England and Wales — a critical point), divorce, birth of children, significant changes in assets, death of named executors or guardians, or major changes in tax law.

Free Will Services

Several organisations offer free will-writing services at certain times of year or for specific groups:

• Free Wills Month (March and October): Solicitors in many UK cities write basic wills for free for over-55s, in exchange for the option to include a charitable bequest
• Will Aid (November): Solicitors write basic wills for a suggested charitable donation rather than a fee
• Some charities: Offer free will writing services to those who commit to leaving a legacy gift

Conclusion

A will is one of the most important financial and legal documents you can create. Without one, your estate may not reach the people you intend, your unmarried partner may inherit nothing, and your children may be left without a guardian of your choosing. Getting a simple will written costs £90–£300 and protects your loved ones far more valuable than that. Don't put it off any longer — contact a solicitor or reputable online will service this month.