Last updated on June 20th, 2018 at 11:10 am
As we reported in our news item ‘substantial increase in probate costs proposed’ last year, subject to parliamentary approval, fees will raise from £155 to a maximum of £20,000.
Currently, if you are applying for probate through a solicitor, there is a flat fee of £155, but the new charges will be based on a sliding scale, dependent upon the value of the estate. Any estate worth less than £50,000 will be exempt from charges, but then the fees will be:
Value of Estate New proposed fee
£50,001 – £300,000 £300
£300,001 – £500,000 £1,000
£500,001 – £1m £4,000
£1m – £1.6m £8,000
£1.6m – £2m £12,000
£2m+ £20,000
This is, of course, a huge increase on the current fees, but a spokesperson for the Ministry of Justice said the banded system would lead to more than half of estates paying nothing and 92% of estates paying no more than £1,000. The spokesperson added:
“Fees are necessary to maintain an accessible, world-leading justice system which puts the needs of victims and vulnerable people first.”
Graysons says:
“The increase is extortionate and will lead to people finding innovative ways of reducing the value of their estates, for example, by making lifetime gifts without full knowledge of the consequences. The government seemed intent on introducing this new tax, ignoring the fact that well over 90% of those who completed the consultation survey were against the move.”