What is a Prenup? And Do I Need One?

What is a Prenup?  – If you’re engaged, it’s likely that you’re beginning to look into planning your wedding. But you might also want to consider making some long-term plans. For some couples, taking out a prenuptial agreement can be an important, pre-emptive move. Here’s a look at what this form of wealth protection is and ways to check if it’s something you and your partner need to consider.

What is a Prenup? And Do I Need One?

What is a prenuptial agreement?

A prenuptial – or prenup – is an agreement made between a couple before they get married or enter into a civil partnership. The aim is to formalise how they want to divide their assets if they decide to divorce or end their partnership in the future.

While it could be considered a little fatalistic, prenups are becoming a common consideration. In fact, a 2023 YouGov poll found that many Britons (42%) are most likely to see a pre-nuptial agreement as a good idea. More women than men found this to be a suitable route and, perhaps understandably, those who were earning £60,000 or more leaned towards thinking it a useful approach to wealth management.

When it comes to the agreement itself, prenups aren’t automatically enforceable in courts in Wales and England. However, after a landmark ruling in 2010, they are more likely to be upheld by the family court if it meets the qualifying criteria set by the Supreme Court.

This criteria is:

• The prenup must be entered into willingly by both parties, who should both have received legal advice and should both have received full disclosure.
• Both parties will need to sign the prenup.
• It must not have been signed within 28 days immediately before the marriage or civil partnership.

To ensure the prenup reflects both parties’ interests fairly, it’s important to seek guidance from a family law solicitor who can provide expert advice.

Benefits and drawbacks

Advantages of a prenup include:

• Protect your assets

Agreeing to how everything will be shared out if you divorce means that assets such as properties, businesses, and any savings you both have are all secure. This applies to assets acquired before or during your marriage too. So, in the event of a divorce, a prenuptial agreement is taken into consideration when a couple’s finances are being considered.

• Speeds up the divorce process

Divorce can be a long, drawn-out process. One of the main sticking points can be decisions around what each party is entitled to. If you’ve both already agreed on how your assets will be divided, this can make for a smoother settlement.

• Saves money

If you can speed up the process by not having to go back and forth over who’s entitled to certain assets, you won’t require legal services as much as you would otherwise.

Some of the disadvantages are:

• Prenups aren’t legally binding

While the court is likely to uphold a prenup, there’s always the chance it won’t. This can make the process more convoluted.

• The prenup process can be overwhelming

Trying to decide who gets what in the event of a separation can be stressful and highly emotive. While it’s a pragmatic approach, it does take some time to establish how you want to share out your assets. A skilled solicitor will provide support and advice, but it’s worth thinking carefully about this.

Do you think a prenuptial agreement could be appropriate? It’s worth talking to your partner to decide how you want to proceed.

Debz Louise

Debz Louise is a plus-size blogger based in Yorkshire. Behind many nationwide campaigns such as #WeaAreTheThey & winner of Best Blogger at the UK Plus Size Awards, she talkas about life as a plus-size 40-something woman in South Yorkshire.