Can I do my own financial order?

1. Introduction
2. What are the implications of being married?
3. How do I get a prenup?
4. Do I need a financial order?
5. What kind of financial order do I need?
6. When can I apply for a financial order?
7. What if I agree with my ex about finances?
8. What if I don’t agree with my ex about finances?
9. How does the court decide how to divide assets and liabilities?
10. Conclusion

Introduction

Marriage is just a piece of paper, he’d told me. He loved her, she loved him and that was all that mattered. They’d had a ceremony that was meaningful to them and they didn’t need anyone else to validate it. Besides, they’d been together for a long time and they had a `common law’ marriage. That was all that mattered.

I winced when I heard that. I’ve heard that many times over the years – by friends, relatives and more people than I can count on social media. It’s a free country – no one is forced to get married and they’re free to live their lives any way they see fit.

But while you may agree with the sentiment in the above quote, the law doesn’t.

Marriage is covered in the Matrimonial Causes Act. There are implications to being married (and getting divorced). There are rights and responsibilities which offer protection but also impose obligations. Some of what I say in this blog will probably comfort you. Other parts might leave you feeling relieved – at least, I hope so. Other bits may leave you with a sinking feeling. Sorry.

Obviously, it doesn’t provide for unmarried couples, nor those in civil partnerships (for those there is another area of law which may help but only when it comes to property – it’s called TOLATA).

Back to the top

What are the implications of being married?

As I said in the intro, there are upsides and downsides here.

The first – and biggest – thing to remember is this: just about everything you own or owe is shared between you and your soon-to-be ex-spouse. Everything.

It doesn’t matter:

1. Who earned it
2. Who spent it
3. Who inherited it (although there are exceptions)
4. Whose name it is in (this includes bank accounts, loans, credit cards, property, cars or anything else)

You can’t easily `protect’ assets so that it doesn’t count when it comes to a court having to work out how to divide things. People do try this all the time however. They do things like:

1. Giving major assets (or selling them for a nominal fee) to friends or family to `look after’ them until it’s all settled
2. Inflating or minimising the value of things in their favour
3. Not disclosing ownership of assets (such as moving money into secret bank accounts)
4. Dragging their feet or looking to settle things when an asset is rapidly appreciating/depreciating
5. Saying payments were a loan and not a gift
6. Not mentioning new partners who pay for everything

Prenuptial agreements are an exception – if they’re set up properly from the start. But even then, there’s still no guarantee.

Back to the top

How do I get a prenup?

A Prenuptial Agreement can provide clarity and a little more certainty. But there is no guarantee. In the UK they are not legally binding as they are in other jurisdictions (such as the US).

You probably won’t be surprised to hear that when a couple divorces, people often want these agreements torn up and forgotten. It’s not unusual for one side to claim they were coerced, bullied, didn’t truly agree, or didn’t understand it – all in an effort to persuade a judge to disregard it.

For this reason, if you want a prenup you need to do it properly. This means making sure it’s clear that all parties know exactly what the implications are, everyone has taken independent legal advice, and no one has been pressured into agreeing at any point.

That’s why it’s so important to put these agreements together carefully – to reduce the chances of any objections succeeding (which is still likely when someone decides during a divorce that they have changed their mind because they realised they’re going to lose out financially).

Back to the top

Do I need a financial order?

Legally, no.

The court isn’t going to say you need one. No one ever will (perhaps from well-meaning friends, family and people like me). You can go through your entire life without any problems too.

So why bother at all? What’s the catch?

It’s a biggie. That catch is that you remain financially tied to your ex-spouse as long as you don’t get one – regardless of just about anything else at all. Either one of you can make a claim on each other at any point.

However, when someone gets married, they can’t make a claim, apart from that. But if you win the lottery, inherit a huge fortune, grow a hugely successful business, your ex-spouse can make a claim for his/her share of it. Similarly if you or they run up a huge debt you could be liable for it.

There’s a good example of someone not getting a finance order and later regretting it. Here are the details.

The Case: Vince v Wyatt (UK Supreme Court, 2015)

• Dale Vince is the founder of the green energy company Ecotricity and became a multimillionaire after his divorce.

• Kathleen Wyatt was his ex-wife. They divorced in 1992, having lived a modest, almost penniless life during their short marriage in the 1980s.

• In 2011, nearly 20 years after the divorce, Kathleen applied for a financial remedy order – claiming a share of Vince’s later-acquired wealth.

The Outcome

• The UK Supreme Court ruled in 2015 that her claim could proceed, despite the long delay and the fact they had no money during the marriage.

• The court said there had never been a final financial order, so legally she was entitled to make a claim.

• Vince ultimately settled the case for £300,000, reportedly to avoid further legal costs and stress.

The references for the (two) cases for this are Kathleen Julie Wyatt v Dale Vince [2016] EWHC 1368 (Fam) and Wyatt v Vince [2015] UKSC 14.

So beware. This is a high-profile case. Even with a financial order, you need to ensure it’s the right type. The next section covers this in more detail.

Back to the top

What kind of financial order do I need?

So a financial order is all it takes, right? No.

You need a clean break.

You’ve heard of those stories about a successful businessman/woman, footballer or rock star being hit with a huge multimillion pound settlement years after their divorce has been finalised. That’s exactly what happens here. What typically happens is that a financial order is made, with a nominal spousal maintenance being ordered – think something along the lines of £1 a month. No one is realistically going to collect that.

But with spousal maintenance it’s possible to apply to the court for a variation of a financial order (well…one that isn’t a clean break). The form to do that is a Form E2 by the way. Here’s an example of such a case:

MacFarlane v MacFarlane [2006] UKHL 24

---

The Parties:

• Kenneth MacFarlane: A high-earning City solicitor (with earnings – over £750,000 a year).

• Julia MacFarlane: His ex-wife, who gave up her own legal career to support the marriage and raise their children.

---

What Happened:

• After divorce, she was awarded ongoing spousal maintenance for life.

• Mr MacFarlane appealed, arguing that she should go back to work and become financially independent.

• But the House of Lords (now Supreme Court) ruled in favour of Julia.

---

The Judgment:

• The court ruled that compensation for lost earning capacity is a valid basis for long-term spousal maintenance.

• Because she gave up a promising legal career to raise children, she was entitled to a share of his future income, even long after divorce, providing her with an extra £100,000 a year from the original sum.

So why do people agree to spousal maintenance if this can happen? The most common reason is a simple one – namely, short-term benefits. It can be very tempting to agree to a spousal maintenance order in terms of paying a lower lump sum (or greater share of the current assets).

Personally, I’d recommend that just about everyone seek a Clean Break Order to avoid this scenario. Also? It provides more certainty to everyone involved.

Back to the top

When can I apply for a finance order?

Simple! To apply for a financial order – using what’s called a Form A – you’ll need to include your divorce case number. That’s it.

Back to the top

What if I agree with my ex about finances?

If you agree, you need to complete the Form A and submit it with the fee of £53 and a draft order signed and dated by you and your ex. In an ideal world, you’ll receive a stamped copy of an order that matches what you want and that’s it. Simple!

In theory at least! A draft order is what it sounds like. It’s a document that contains details of every asset and liability shared with your ex-spouse and what happens to them. You both sign it and send it to the court.

The court will read it and check to see if it makes sense, covers all assets and is consistent with the law. If it is, that’s it. You’ll get an order that reflects the draft statement and that’s the end of it.

But that’s where most people representing themselves run into trouble. They either leave out important things that need sorting, or they don’t plan for what might come up later. That can land them back in court when something happens they can’t agree on – or can’t afford or don’t want to pay for.

A draft order needs to cover all bases. When do you need to sell the house? What happens if you can’t get a mortgage? Who is responsible for administrative and legal costs of buying/selling a house. That sort of thing.

Keeping it simple is a good rule of thumb…

If you’re not sure if you can do this – speak to someone (like us) or a solicitor. As well as having things like checklists to ensure you don’t miss anything out, we also know enough to help you come up with solutions you probably didn’t even know about (things like `Mesher orders’ that let someone live in a house until an agreed trigger point is reached before sharing equity, etc.), how to ensure your house is valued correctly and fairly and what to do about pension sharing.

Get it wrong and you’ll have to go to court even if you do agree. You’ll have to attend to go through whatever it is has confused the court. This can include:

1. 1. Sums that don’t add up
   2. An agreement that wildly disagrees with the Matrimonial Causes Act or seems unfair to at least one party
   3. Omissions

1. Things that aren’t clear or easy to understand
2. A lack of deadlines when required

It can be risky if things get to this point. A few questions can cause an agreement between the parties to fall apart, the goodwill disappears, and the couple ends up in disagreement. That’s what the next section covers.

Back to the top

💬 Even more confused after reading this far? Book your Ask Me Anything Call for just £125 + VAT and get expert, practical advice.

What if I don’t agree with my ex about stuff?

If you disagree you need to complete the Form A in the same way you do as if you do agree.

But the fee is higher – it’s over £200 more expensive at £275.

This is (probably) in anticipation of court hearings that will have to take place. You don’t need a draft order – because you haven’t been able to agree on anything. Instead, you’ll both attend court to try and find a solution. If you can’t or won’t, the court will make one for you. It’ll also set a timetable to stop things dragging on and make sure everything wraps up in a reasonable timeframe. If you (or your solicitor) aren’t on the ball these things can drag on for extended periods leaving you in a financial limbo and unable to move on with this aspect of your life.

You will get notification of a hearing to attend as an initial appointment. It’ll contain a timetable of what needs to happen before the hearing and includes a`shopping list’ of things you need to disclose as well. You’ll both need to submit a Form E and documentation to back it up (such as bank statements, etc.), ES1 and ES2 forms (a case summary template and an asset and income schedule respectively) and then questionnaires you’ll produce to `fill in the gaps’ about your ex-spouse’s information (and vice versa).

Phew!

Financial applications involve a lot of paperwork and while Practice Guidance includes a stipulation that there should be no more than 350 pages of single-sided documents in a trial bundle it’s not uncommon for there to be many more. Sometimes, suitcases literally packed with documents. We’ve had to sift through it all and cut it down to something manageable – so the court has a realistic chance of seeing what really matters before and during your hearing.

And of course, it’s far from unheard of trials to be 3 days (or sometimes more) long.

From this point on, the court will do everything it can to encourage you and your ex-partner to reach an agreement. It wants to avoid imposing an order you won’t like – and avoid draining whatever money’s left on legal fees, which can easily happen in a three-day trial.

These fees can run into huge sums and should be avoided and this is why mediation should be attempted before you get to this stage. In an ideal world, you’d use the mediator’s memorandum of understanding as the basis for a draft consent order. That way, you avoid legal fees quickly eating up the money you’re disputing – especially if you’re using a solicitor or barrister to represent you.

By the time the first hearing takes place – called an FDR or Financial Dispute Resolution Hearing – the court should have all the documents it needs to make a decision, if you and your ex-spouse can’t reach an agreement. The evidence associated with it will include bank statements, pension statements, credit card statements, valuations of property, etc. If there is incomplete information and/or you can’t agree things there will be another hearing which will cost you even more if you are paying someone to represent you. During this time correspondence between solicitors and further work will increase your costs even before you get to this next hearing.

You get the picture. It will conclude – if you can’t agree – with a final hearing at which point a court will impose an order if you and your ex cannot reach an agreement. The court will also decide who pays the legal fees during the case – the options include everyone paying their own or one person being liable for part (or even all) of their ex-spouse’s if the court feels it is justifiable.

At the penultimate hearing, the judge will give an indication of what they’re likely to order at a final hearing. It’s a way to encourage you – once again – to reach an agreement and avoid a lengthy and expensive trial. Doing this will mean the same judge cannot be at the final hearing.

All of the above means that compromise, discussion and an agreed settlement is in the best interests of everyone.

Back to the top

How does the court decide how to divide assets and liabilities?

Judges use a set list of criteria to make their decisions. They’re listed in Section 25 of the Matrimonial Causes Act. There are 8 different factors. They are:

1. The income, earning capacity, property and, financial resources each spouse has or is likely to have in the future.
2. The spouses’ needs, obligations and responsibilities now and in the future.
3. The standard of living before the family breakdown.
4. The ages of the spouses and duration of the marriage.
5. Any physical or mental disabilities.
6. The contributions each of you has made – or will make – in caring for the family and children.
7. The conduct of the spouses where it would be unfair to disregard it.
8. The value of any benefit that will be lost because of the divorce.

The court’s main priority however will be the welfare of children of the marriage.

As I’ve previously said, all assets and liabilities go into the matrimonial `pot’ which is why what is in whose name is not a factor in this list – the court will not consider it. You may (or may not) agree with the court’s decision based on these factors or you may feel them to be unfair – but these are the criteria the court will use.

Back to the top

Conclusion

In almost every situation, it’s far better to reach an agreement – otherwise, the assets you’re fighting over can easily vanish into legal costs. If you or your ex refuse to compromise, there’s a real risk you’ll end up with little or nothing. It is entirely possible there will be little or nothing left if you and/or your ex-spouse refuse to compromise and there are nightmare scenarios where no one is left with anything after the dust has settled.

Handling a finance case is also a fairly complex process. It can leave litigants in person feeling overwhelmed by paperwork – or second-guessing whether they should’ve included documents that might have helped their case. Not asking for what you want early in the process, and in the right way, can cause problems…

That said, you can do it as a litigant in person – but it might turn into a challenge you’ll wish you hadn’t taken on! If that sounds likely for you, you need an Ask Me Anything online session with us.

Back to the top

Updated 14th June 2025