Pensioner divorcees 'could be financially vulnerable'

08 June 2009



People over the age of 60 who divorce could find themselves in financial difficulties, findings from Safe Home Incomes Plans (Ship) have revealed. The study suggested that with 13,678 over-60s divorcing every year and continued problems in the housing market, retirement income could be severely reduced for many.

"Clearly, 'pensioner divorce' is a pressing issue as growing numbers of older people are deciding that they would prefer to spend their retirement alone," noted Andrea Rozario, Director-General of Ship. Couples who choose to divide their assets could be the most financially vulnerable, the organisation warned, adding that they could lose as much as 22.5 per cent of the value of their home.

Women are the worst-affected by divorce, it is claimed, as they could lose over £18,200 in income over their lifetime following a split. In the average case, Ship believes weekly income could drop by as much as six per cent.

Sue Andrews, partner in the family law practice group, comments: "We regularly see people who divorce in their late 50's and 60's after a long traditional marriage, during which the husband has worked and the wife has looked after the children, home and supported her husbands career. In such circumstances the majority of the pensions will usually be in the husbands name.

"We work with specialist pension advisors to ensure that pensions are properly valued and obtain advice as to how they should be divided to provide a fair income for each spouse in their retirement."

If you would like to speak to one of B P Collins' experts in family law, please call 01753 279045, complete the online enquiry form or email familylaw@bpcollins.co.uk.



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