Cohabitation Reform: Added Protection for Unmarried Couples

In England and Wales, cohabiting relationships are the fastest-growing family type. Yet, the legal framework surrounding these partnerships remains outdated and often inadequate, leaving many people vulnerable. Cohabiting couples have limited legal rights when it comes to property, finances, and other matters, regardless of the length or nature of their relationship. The difference between this and the law relating to marriages and civil partnerships is stark – something which cohabitants are often completely unaware of.

Following the Labour government’s manifesto pledge to “strengthen the rights and protections available to women in cohabiting couples”, we eagerly await development to cohabitation law.  Of course, the issues surrounding cohabitation law can affect people of any gender. So far, very little has happened but there is speculation amongst the family law community as to what form any changes could take and what sort of law would work best in meeting the needs of couples and giving them a better understanding of their rights when separating.

The Current Legal Landscape

At present, there is no specific legal status for cohabiting couples in England and Wales. Common misconceptions, such as the belief in "common-law marriage," often lead to individuals assuming they have rights that do not exist. This means that, upon separation or the death of a partner, cohabiting individuals can face significant legal and financial challenges.

Key issues include:

• Property Ownership. Unless both names are on the property title or there is a formal agreement (such as a cohabitation agreement), one partner could have no claim to the home they have shared and contributed to.
• Financial Support. Unlike married couples, cohabiting partners have no automatic right to financial support (i.e. maintenance or pension sharing), even if one partner has sacrificed their career to raise children or support the household.
• Inheritance. Cohabiting partners have no automatic right to inherit their partner’s estate without a valid will, often leading to distressing outcomes for surviving partners.

Momentum for Reform in 2025

Recognising the inequities faced by cohabiting couples, the government has committed to exploring reforms aimed at strengthening their legal protections. While the specifics of proposed legislation remain under development, key areas of focus are expected to include:

1. Legal Recognition of Cohabiting Relationships
   Introducing a legal status for cohabiting couples could provide clarity and protection, ensuring that individuals have certain rights and responsibilities akin to those in civil partnerships or marriages.
2. Property and Financial Rights
   Reform could address property disputes and provide mechanisms for equitable financial settlements in cases of separation, particularly where one partner has made significant non-financial contributions.
3. Inheritance Rights
   New measures could grant cohabiting partners automatic inheritance rights, reducing the financial insecurity many face after the loss of a loved one.
4. Cohabitation Agreements
   While these are currently an option, reforms may aim to encourage the use of cohabitation agreements by raising awareness and potentially standardising their structure to offer greater security and fairness.

Why Reform Matters

Cohabitation reform is not just about addressing legal gaps; it’s about acknowledging the reality of modern family structures. For many, cohabitation is a conscious choice, reflecting a diverse range of values and circumstances. For others, there may be a misunderstanding that sharing their home, their finances and having children together creates a legal relationship akin to marriage. Strengthening legal protections aims to ensure fairness and recognises the contributions and sacrifices made by individuals in these partnerships.

What Should Cohabiting Couples Do Now?

While reforms are on the horizon, they will take time to materialise. In the meantime, cohabiting couples can take proactive steps to protect their interests, including:

• Creating a Cohabitation Agreement. This formal document outlines how property, finances, and other assets will be handled in the event of separation.
• Drafting a Will. Ensuring that your wishes are legally documented can provide peace of mind and security for your partner.
• Seeking Legal Advice. Consulting a family solicitor can help you understand your rights and options, enabling you to plan effectively for the future.

Looking Ahead

2025 could represent a pivotal moment for cohabitation reform, with growing pressure on lawmakers to address the inequities faced by cohabiting couples. These changes have the potential to reshape family law and offer much needed protections to millions of people across England and Wales.

At Neves, we understand the challenges cohabiting couples face and are here to guide you through the current legal landscape. Whether you need assistance drafting a cohabitation agreement, creating a will, or understanding your rights, our team is here to help. Get in touch by calling 0330 0945 500, email info@neves.co.uk or complete our Contact Form and we'll get back to you.