Trusts & Estate Planning


You may not understand the benefits of a Trust or simply assume they are only for the wealthy. However, a Trust could be the solution to your asset protection concerns.


What are Trusts?

At their most simple, Trusts are a legal arrangement where a group of people are made responsible for an asset for the benefit of another group.

When you place your asset in a Trust you are securing the future of it in the hands of people you trust the most. That way you can be sure it will be used correctly after you are gone.

Types of Trust

Property Protection Trust
This is used to safeguard your share of your property by directing it to a Trust on your death but it allows your surviving spouse or partner to continue living there after your death. It is a good estate planning tool as it provides some asset protection whilst preserving the necessary inheritance tax relief rates.
Flexible Life Interest Trust
This is similar to the Property Protection Trust but deals with your entire estate rather than just your Property. It offers a great deal of flexibility for the surviving spouse and beneficiaries. If used correctly it can also help to mitigate an inheritance tax liability.
Disabled/Vulnerable Persons Trust
This is used to either direct specific assets or an entire estate to with an individual who would find it difficult managing their inheritance named as a beneficiary. This is normally used where you have a beneficiary who is disabled, ill, suffering from addiction etc.
Business Protection Trust
This can be used to protect business assets for your family whilst taking advantage of Business Property Relief that may be available. This is very good for allowing business continuity whilst financially supporting your surviving family.
Asset Protection Trust

This is used to ‘ring-fence’ assets and/or money. This Trust provides you with a life interest in the asset, but it will not form part of your estate on death (except for Inheritance Tax purposes). Therefore, it provides you with the peace of mind that the asset is protected for your chosen beneficiaries.

Many clients ask whether setting up an Asset Protection Trust will protect against care home fees. This is a complicated area and involves consideration of a concept called ‘deliberate deprivation’ – where assets are sold, transferred or used to deliberately avoid care fees. If assets are transferred into an Asset Protection Trust whilst care fees are not even contemplated, and when the clients are healthy and not considering going into care the assets may be excluded from a local authority assessment for care fees. A full assessment of the individual’s circumstances will be required.

Trusts don’t have to be complicated, expensive or frightening. Our role is to understand your circumstances and wishes, recommend a Trust only if it will benefit you and your family and explain everything to you in an easy to understand manner.

Trusts are incredibly useful for anyone who wants to protect their assets ensuring they end up in the right hands at the right time.

What are Trusts

Advantages of using a Trust

Trusts can be a very effective estate planning tool, but a lot of people simply do not understand the benefits and are reluctant to use them.  Here are some advantages of using a Trust:

  • It protects against the concept of sideways disinheritance, which happens when children are either accidentally or intentionally disinherited.
  • It can be used to protect your family against the costs of probate, which can be as much as 5% of your estate.
  • It can protect children from inheriting at the ‘wrong time’, which could be due to a divorce, illness or addiction for example.
  • It protects against family challenges on your death, whereby your own wishes outlined in your Will could be disregarded by the courts if the challenge is successful.
We will only recommend a Trust to you if we feel that it will benefit you and your individual circumstances. If you agree and feel that it is the best course of action, we will guide you through the whole process ensuring that you understand and are comfortable you have made the right decision.

What our clients say.

Natalie came to see us at a time that was very convenient to us both, due to our hectic work schedules, answered all the questions that we had prepared plus plenty we hadn’t actually thought of, The drafts were sent over reasonably quickly for us to review or amend, with the final documents arriving shortly after. she was always available to answer any further questions we had. A great service and something we should have probably done a long time ago.

mr & mrs p.

Will Writing

Peace of mind for you

“Many of our clients say that they have ‘peace of mind’ after their Will is finalised. If you have any questions about your Will, please get in touch, we would rather have an informal call with you then have you worrying”

Natalie Chapman, Managing Director