Married, successful… and still exposed: What happens if you die without a Will in 2026
- 10 hours ago
- 8 min read
The assumption most married people make
Many married professionals assume the same thing. “If something happened to me, my spouse would inherit everything.”
It feels logical. You are married. You share assets. You have built a life together. Surely the law would simply pass everything across to the surviving spouse. In England and Wales, that is often not what happens.
If you die without a valid Will, you die intestate. Your estate is then distributed according to a statutory framework set out in the Administration of Estates Act 1925 and subsequent regulations. The rules apply automatically. They do not take into account what you may have intended, what conversations you had, or what would make commercial or emotional sense for your family.
For married professionals and business owners, the gap between assumption and legal reality can be significant.
What the law actually does in 2026
Where a married person dies leaving:
A surviving spouse or civil partner; and
Children (including adult children),
the estate is divided as follows:
The spouse receives all personal chattels (personal possessions).
The spouse receives a fixed sum known as the statutory legacy, currently £322,000.
The remainder of the estate above £322,000 is divided:
Half to the spouse;
Half equally between the children.
Children inherit their share outright at 18.
The surviving spouse does not automatically inherit the whole estate unless its total value is below the statutory legacy threshold. In many parts of the South West and London, that threshold is exceeded by the family home alone.
A practical illustration
Let us take a straightforward example.
Estate value: £1,200,000
Family home: £900,000
Investments and savings: £300,000
Family: Surviving spouse and two adult children
Under the intestacy rules:
Spouse receives personal possessions.
Spouse receives £322,000.
Remaining estate: £878,000.
Spouse receives half of remainder: £439,000.
Total to spouse: £761,000. Children share: £439,000 immediately.
That may not be problematic in some families.
In others, it can mean:
The surviving spouse and children become co-owners of property.
The house may need to be refinanced or sold to release funds.
Liquidity pressures arise at a time of grief.
Investment decisions become collective rather than centralised.
The statutory framework is neutral. It is not designed around business continuity, asset protection or long-term wealth planning. It is simply a formula.
When the Estate includes business interests
For business owners, the implications can be more complex.
If the estate includes:
Shares in a private limited company
Partnership interests
Farming assets
Property portfolios
Intellectual property rights
those assets form part of the intestate estate.
Under intestacy:
Shares may pass directly to children who are not involved in the business.
Voting rights may fragment.
Dividend expectations may shift.
Shareholder agreements may not align with statutory distribution.
Buy-sell arrangements may be triggered unexpectedly.
A business built over decades can suddenly face structural instability. In many family enterprises, the founder intends one child to continue the business while others benefit financially in different ways. Intestacy does not accommodate that nuance. It distributes assets mechanically.
Without a Will aligned to corporate documentation, succession becomes reactive rather than strategic.
The liquidity problem
Another often overlooked issue is liquidity.
Consider a scenario where:
The estate is largely comprised of a valuable home and company shares.
Cash reserves are modest.
If the children inherit a substantial share immediately, there may be insufficient liquid assets to satisfy their entitlement without:
Selling investments;
Extracting funds from the business;
Borrowing;
Selling property.
These decisions may not be commercially optimal. They may be forced by statutory distribution rather than chosen for strategic reasons.
Blended families and second marriages
Intestacy rules are particularly blunt in blended family situations.
If a married individual dies leaving:
A spouse; and
Children from a previous relationship,
the same statutory formula applies.
This can create tension between:
Providing security for a current spouse; and
Preserving capital for children from a prior relationship.
Intestacy offers no life interest trust. No staged distribution. No protective structuring.
Children inherit their statutory share outright. The spouse inherits only what the formula dictates.
Stepchildren do not inherit automatically at all unless legally adopted. Unmarried partners receive nothing.
For modern families, where remarriage and complex family structures are common, intestacy rarely reflects lived reality.
Inheritance tax is separate from distribution
It is important to distinguish between who inherits and how tax applies.
The spousal exemption for inheritance tax remains available on transfers between spouses or civil partners. However, intestacy does not necessarily maximise planning opportunities.
The structure of a Will can influence:
Whether nil rate bands are preserved;
Whether the residence nil rate band is optimised;
How business property relief is applied;
Whether assets are directed into trust;
The timing of tax liabilities.
Intestacy does not provide tailored planning. It applies the statutory order of entitlement. Executors are then left to administer tax consequences within that framework.
For estates involving business or agricultural assets, careful structuring can materially affect outcomes. That structuring does not arise automatically in the absence of a Will.
Guardianship and minor children
Where children are under 18, intestacy creates further complexity.
The statutory entitlement still applies, but:
Funds may need to be held on statutory trusts until the child reaches adulthood.
There is no opportunity to stagger inheritance beyond 18 without a Will.
No guardian appointment is made under intestacy.
For parents in their thirties and forties, this is often the most immediate risk. A Will allows guardianship appointments and the creation of age-contingent trusts to manage capital responsibly.
The control question
For many professionals, the issue is not simply tax or technical distribution.
It is control.
You may have:
Structured shareholdings carefully;
Negotiated shareholder agreements;
Considered exit strategies;
Protected intellectual property;
Implemented risk management systems;
Built governance frameworks.
Yet without a Will, personal succession defaults to legislation drafted a century ago.
Control shifts from deliberate planning to statutory formula.
For individuals accustomed to making strategic decisions, that shift can be uncomfortable when fully understood.
Common misconceptions
Several assumptions recur frequently:
“My spouse would automatically inherit everything.”
Not necessarily, if the estate exceeds £322,000 and children survive.
“We own everything jointly.”
Not all assets are jointly owned. Business shares, investments and property may be held individually.
“It’s straightforward.”
Even administratively simple estates can become complicated where distribution does not align with expectations.
“We can sort it out informally.”
Beneficiaries may choose to vary an estate after death, but that requires agreement and careful documentation. It is not guaranteed and can carry tax implications.
When marriage revokes a Will
It is also worth noting that marriage itself can revoke a prior Will, unless that Will was made expressly in contemplation of that marriage.
For individuals who marry later in life, particularly where assets were accumulated before marriage, this can be significant. If no new Will is made, intestacy applies.
Reviewing an existing Will
The question is not only whether a Will exists. It is whether it remains appropriate.
Changes that often warrant review include:
Marriage or remarriage;
Divorce;
Birth of children or grandchildren;
Sale or acquisition of a business;
Significant increase in asset value;
Acquisition of foreign property;
Changes in tax legislation.
For business owners in particular, a Will should be consistent with:
Shareholder agreements;
Partnership agreements;
Articles of association;
Cross-option arrangements;
Insurance-backed buyout provisions.
Misalignment can undermine otherwise careful planning.
The broader strategic perspective
A professionally drafted Will does more than override intestacy.
It allows you to decide:
Who benefits;
In what proportions;
At what stage;
Under what conditions;
Through what structure.
It allows alignment between:
Personal wealth;
Business continuity;
Tax planning;
Family dynamics.
It introduces deliberation where intestacy introduces default.
Peace of mind and professional standards
Many clients express a similar reflection after completing estate planning:
“I should have done this earlier.”
The process is rarely dramatic. It is structured, considered and proportionate to the complexity of the estate.
For professionals who maintain disciplined financial oversight in other areas of life, ensuring personal succession planning reflects similar standards is simply consistent governance.
Marriage does not remove exposure. It changes how the law allocates it.
Frequently Asked Questions
Does a spouse automatically inherit everything if there is no Will?
No. In England and Wales, if a married person dies without a valid Will and leaves children, the surviving spouse does not automatically inherit the entire estate. The spouse receives personal possessions, the statutory legacy (currently £322,000), and half of the remaining estate. The children inherit the other half of the remainder outright.
What is the statutory legacy in 2026?
The statutory legacy is the fixed sum a surviving spouse receives under the intestacy rules before the remainder of the estate is divided. As of 2026, the statutory legacy in England and Wales is £322,000. If the estate exceeds this amount and there are children, the balance is divided between the spouse and children.
What happens if most of the estate is tied up in the family home?
If the majority of the estate consists of property rather than liquid assets, intestacy can create practical challenges. The surviving spouse and children may become co-owners of the property. This can lead to refinancing pressures, forced sales, or complex financial arrangements at a time when stability is often needed most.
How does dying without a Will affect business owners?
If a business owner dies without a Will, their shares or partnership interests form part of the intestate estate. These interests may pass directly to family members who are not involved in the business. This can disrupt governance, alter voting control, and create tension between active and non-active beneficiaries. Intestacy does not take shareholder agreements or succession intentions into account.
Do stepchildren inherit under the intestacy rules?
No. Stepchildren do not inherit automatically under the intestacy rules unless they have been legally adopted. If provision is intended for stepchildren, a properly drafted Will is required to achieve that outcome.
What happens to minor children if there is no Will?
Where children are under 18, their entitlement under intestacy is held on statutory trusts until adulthood. The law does not allow you to choose alternative ages for inheritance without a Will. In addition, guardians are not appointed automatically under intestacy; this must be done through a Will.
Does marriage revoke an existing Will?
Yes. In most cases, marriage automatically revokes a prior Will unless it was expressly made in contemplation of that specific marriage. If no new Will is made after marriage, intestacy rules will apply on death.
Can beneficiaries change the outcome after death?
It is sometimes possible for beneficiaries to enter into a Deed of Variation to alter how an estate is distributed. However, this requires agreement between relevant parties and careful drafting to ensure tax efficiency. It cannot be assumed as a substitute for proper planning during lifetime.
Is inheritance tax avoided if everything passes to a spouse?
Transfers between spouses are generally exempt from inheritance tax. However, intestacy may not optimise wider tax planning opportunities, such as the use of nil rate bands, residence nil rate band structuring, or business property relief alignment. Distribution and tax planning are related but distinct considerations.
How often should a Will be reviewed?
As a general guide, a Will should be reviewed every five years, or sooner if circumstances change. Marriage, divorce, business growth, acquisition of significant assets, or changes in family structure are all common triggers for review.
Discussing your situation
For married professionals and business owners, reviewing whether your current arrangements reflect your intentions can form part of prudent long-term planning. The Private Client team at Eddison Cogan Lawyers advises on Wills, estate structuring and succession planning in England and Wales, including estates involving business and agricultural assets.
The following note is included for clarity and completeness.
This article is provided for general information purposes only and does not constitute legal advice. The law in England and Wales may change, and its application will depend on individual circumstances. Reading this article does not create a solicitor-client relationship. You should seek independent legal advice before taking or refraining from any action based on the information contained here.
