With the January’s traditional ‘divorce day’ headlines behind us, it’s worth taking a considered look at some interesting trends that shaped divorce and child arrangement disputes in 2024 and what issues are likely to gain momentum in 2025.

Gavin Scott

Gavin Scott

Undisclosed assets in divorce

In divorce, both spouses have a duty to provide each other with full and frank financial disclosure of their financial resources. They should disclose all sources of income, capital and liabilities. They may need to value property, businesses or obtain pension advice. They will then be in a far better position to see how they can divide up the matrimonial assets to hopefully achieve a fair and reasonable outcome between them.

The disclosure process is done by exchanging a financial statement (Form E). It is signed with a statement of truth and has a warning that ‘proceedings for contempt of court may be brought against a person who makes or causes to be made, a false statement in a document verified by a statement of truth’.

This is serious stuff, yet we had many cases where we uncovered non-disclosed assets well after the exchange of Forms E. In some cases, this amounted to significant sums of money. The usual excuse is the asset was ‘overlooked’, which is more unbelievable the higher the value is. Typical non-disclosure tends to be:

  • Bank accounts (domestic and offshore), especially in joint names with third parties
  • Assets held by other people for them, particularly family members
  • Investments
  • Businesses
  • Property and land
  • Cash in hand income

Steps can be taken to help flush out non-disclosure, for example Companies House searches. In one matter last year a Land Registry search revealed the existence of additional properties worth millions. It is extremely important to carefully consider the disclosure and what may be misled or missing.

Silver separations

We’ve observed a noticeable rise in divorces among couples in their late 50s and early 60s. This is in line with the Office for National Statistics report of over 60’s being the fastest growing divorce group in the UK. These divorces often involve longer marriage durations, higher-value asset portfolios, substantial pension funds and inherited assets—frequently sparking disputes over whether such assets qualify as ‘non-matrimonial’ and should remain excluded from division.

The reasons? The most important appears to be spouses having less tolerance to persistent unpleasant behaviour in these later years, coupled with approaching retirement and not wanting to spend their remaining golden years in an unhappy relationship.

The stigma surrounding divorce has also lessened, especially for older generations, making it more socially acceptable to part ways later in life.

Divorce at this stage often requires major adjustments, from downsizing homes to reevaluating retirement plans and budgeting for single living.

Covert recordings and digital surveillance

We are witnessing a marked rise in cases involving covert recordings by one party, often without the other’s knowledge. These recordings frequently captured using mobile phones, and sometimes doorbell cameras, range from isolated incidents to hundreds of premeditated recordings made over many years prior to separation. At the more extreme end, such recordings are often aimed at documenting alleged domestic abuse, later presented as evidence, particularly in child arrangement disputes.

However, those engaging in covert recording risk being accused of underhanded behavior or, in some cases, of engineering or provoking incidents to strengthen their claims. This can blur the lines of accountability and may itself be deemed a form of domestic abuse.

With the growing ease of recording on mobile devices, we anticipate a further rise in such cases in 2025. Handling these matters requires a meticulous approach, particularly with regard to the Family Justice Council’s draft guidance on the use of covert recordings in family law proceedings involving children.

Protecting wealth in 2025

We had many pre-nuptial and post-nuptial agreements (PNAs) last year and there is no sign of this slowing down. It is now far more common for there to be international elements to the PNAs, whether the parties have assets abroad or are living abroad. Additional care must be taken in these circumstances to ensure the wealth the PNA sought to protect stays intact, whether they divorce in England or abroad. For example, one of our recent clients planned to marry his new partner in Taiwan and he sought to protect his substantial HNW wealth in England. Specialist advice was taken in Taiwan and his PNA was modified to protect his assets from divorce in either jurisdiction.

 

Gavin Scott is a family law partner at Freeths