As comedian and actor Ricky Gervais recently noted, marriage can offer tax-planning and succession benefits. But could there be downsides too?
In a recent interview, Ricky Gervais announced his intention to marry long-term partner Jane Fallon, despite previously dismissing marriage as 'pointless'. And why tie the knot now after living together for over four decades? For inheritance tax (IHT) reasons.
The couple's decision may not hit the romantic high notes, but it's practical. Marriage or civil partnership can deliver significant financial and succession benefits that are not available to unmarried couples, even if they're engaged or long-term cohabitees.
Are there downsides to marriage?
Leaving the relationship aspects of marriage well aside, it's also worth considering any possible complications if you decide to tie the knot. Marriage comes with certain rights and entitlements – which not every individual or family will view as beneficial:
- In Scotland, you cannot entirely disinherit your spouse, even if you put a Will in place. Therefore, marriage could stand in your way if you'd been planning to leave all your assets to, say, children from a previous relationship or a charity.
- Marriage could bring some of your assets into the 'matrimonial pot', to be shared if you split. This may not be welcome, but an experienced family lawyer can help both of you ringfence certain assets if you want.
Take advice
Every decision about marriage, tax planning, succession, and family life is an individual one. Inheritance tax can be complex and tax rules can change over time. To benefit from the allowances and rights available to married couples and civil partners, you'll need experienced and practical advice, tailored to your own family and finances.
Are you – or should you be – the marrying kind?
Married bliss
- When you die, any money, property, or assets left to your spouse / civil partner are automatically exempt from IHT. This applies however large your estate.
- A spouse / civil partner can transfer their unused IHT nil-rate band of up to £325,000 to their partner. So, if you leave everything to your spouse when you die, their IHT allowance can double up to £650,000*.
- You can also transfer your residence nil-rate band (or RNRB) – an additional IHT allowance of up to £175,000 when your main home is passed down to a direct descendant. With the two nil-rate bands and RNRBs combined, the surviving spouse has an IHT-free allowance of up to £1 million.
- If one spouse or civil partner dies without a Will, the surviving spouse is automatically entitled in law to inherit a significant chunk of their estate.
Unmarried bliss
- In unmarried couples, anything left to the surviving partner is potentially subject to IHT, even if you've lived together for decades.
- An unmarried couple cannot pass their unused nil-rate band from partner to partner.
- A cohabiting partner cannot 'inherit' the other partner's RNRB.
- An unmarried partner has no automatic right to inherit anything, unless it's left to them in a Will. It may be possible to claim a share of the estate, but there are strict time limits on this and it's not a simple or assured process.
IHT allowances are based on the 2026/27 tax year.
