Much has been written in recent years about the ongoing delays at the Probate Registries. Since Covid, the average length of time that it has taken to obtain a grant has risen a great deal, and in some of the more complex estates, the delay has been as long as 24 weeks.
A delay in obtaining probate can cause all sorts of difficulties for a grieving family at what is already a difficult time. Until the grant is obtained, very often it will not be possible to access the deceased’s bank account nor to sell their house. A delay in obtaining a grant can therefore often result in financial hardship for those involved. In a volatile market, the valuation of a house and/or a portfolio of stocks and shares can also fluctuate in the interim, and without a grant of probate, it is impossible to sell the assets in a timely fashion.
In a taxpaying estate, the Inheritance Tax due needs to be paid by the end of the sixth month following the date of death, in order to avoid accruing penalties and interest with HMRC. If funds are available, it is sometimes possible to arrange for banks to transfer funds from the deceased’s bank accounts to HMRC direct, to go towards the inheritance tax payable. Investment managers will also sometimes agree to liquidate assets and make direct payments to HMRC from the deceased’s portfolio. However, if the estate is predominantly comprised of an illiquid asset such as the family home, probate is needed in order to liquidate it. The delays in obtaining probate result in additional interest accruing, which reduces the assets available to distribute to the beneficiaries, when all is said and done.
Currently, the Justice Committee is leading an enquiry into the Probate Registries, which has brought to light many issues including a lack of staff training and teething issues with the new online probate service. The introduction of the online service seems to have coincided with the decline of what was previously a very effective system. Other aspects of HM Courts and Tribunal’s Reform Program included centralising the probate service and closing down regional Probate Registries. This resulted in redeploying well-trained probate staff to other areas. During this process, the number of full-time registrars in England and Wales was reduced from 30 to only 3. Unfortunately, this loss of experienced staff has contributed heavily to the ongoing probate delays.
The most recent statistics suggest that waiting times to obtain a grant of probate are now beginning to reduce again. The Probate Registry has reduced the contact hours for its telephone services in order to assist the staff in tackling the backlog of probate applications, which makes it increasingly challenging to contact them for updates on progress. The rule is at present is that if it has been less than 16 weeks since an application was submitted to the Probate Registry for processing, applicants may not call and ask for an update.
Chiltern Wills is a Will writing business based in Beaconsfield and run by Rebecca D’Arcy. Call us on 01494 708688 or email info@chilternwills.com for a free initial conversation, to see how we can assist you with obtaining a grant of probate.