Results of Grant Thornton's annual matrimonial survey revealed
The divorce rate is falling due to the recession, new research has shown.
However, couples are more likely to mislead each other by concealing their assets when they do separate—only 9% of family lawyers surveyed in Grant Thornton UK’s tenth annual matrimonial study have not had cases which revealed missing or concealed assets, compared to 20% last year and the year before.
Chris Clements, partner, forensic and investigation services, Grant Thornton UK, says: “Concealment is clearly a major issue as is illustrated by the recent public cases of Prest v Petrodel [2013] UKSC 34 and the ongoing Young v Young matter.
“What is clear is that concealment, particularly in corporates, will require detailed analysis of the financial records in order to confirm the true position.”
Geraldine Morris, head of family at LexisPSL, says: “It's no surprise that divorces are being delayed in the current economic climate; with high cost of living, increasing property prices and low wage rises many families are feeling under significant financial pressure, a pressure that would be increased further if resources were stretched across two households rather than one.
“Regarding concealment of assets, while the number of cases may not have increased, the ability to throw light on such assets was significantly eroded by the Court of Appeal in Imerman [2010] EWCA Civ 908 when it reversed the Hildebrand rules previously been relied on by parties and their advisers in cases where it was alleged that the spouse/civil partner would not fully disclose their financial circumstances and one party had taken and copied their spouses/civil partners documents—that practice is no longer permitted and a possible further consequence is the apparent increase of enforcement action in relation to a non-disclosing party, including imprisonment as in the high profile case of Young v Young.”
The 40s are the most separation-prone decade for couples, and the main reason for divorce is “falling out of love”.
Nearly one quarter of the 85 leading family lawyers taking part in the survey said their most pressing issue was litigants in person, which are increasingly common due to cuts in legal aid and public funding for advice centres.
