One to be aware of – cost of living driving more court fights over money

When it comes to splitting couples, it’s always easier if the separating parties can work out their finances amicably. Financial advisers are often on hand to help with this.  

But new figures suggest more money feuds are ending up in court, with the rising cost of living in part to blame.

The number of divorcing couples going to court to sort out their finances has hit a 15-year high as cost of living pressures fuel concerns about long-term financial security, according to Nockolds, a law firm.

Data obtained from the Ministry of Justice shows there were 49,067 applications for financial remedy in the family courts in 2025, the highest since 2010.

This rise is not being driven by an increase in divorces. Divorce numbers have fallen since the spike caused by the introduction of no‑fault divorce in 2022 – but more couples are now seeking formal financial clarity.

Applications for financial remedy have been rising steadily since the cost of living crisis began to bite, from 40,081 in 2022, an increase of 22%. Couples are increasingly unwilling to conclude divorces and leave their finances unresolved.  

Even couples with modest or no matrimonial assets are now increasingly seeking formal financial settlements simply to secure a clean break and protect themselves from future claims.  

Many who divorced in previous years following the introduction of no-fault divorces in 2022 are also returning to court to finalise financial arrangements they initially left open.

Kaja Viknes, senior associate at Nockolds, said: “Rising living costs, mortgage pressures and uncertainty about the future mean that divorcing couples simply cannot afford to leave their finances unresolved. There was a trend for informal separations to save money on legal fees but increasingly that is a false economy.” “Informal financial agreements are incredibly fragile. They might feel convenient at the time, but they offer no real protection. We are seeing more people discovering, often years later, that what they thought was an ‘agreement’ simply is not enforceable.”

As a trusted adviser, your role in a divorce is to provide crucial, objective analysis of marital assets, debts, and income to help structure a fair settlement. Everything from post-divorce financial plans, managing investment portfolio adjustments, evaluating pension sharing, and using cash flow modeling to ensure long-term financial security.  

Outsourcing the number crunching could be just what you need to focus on the messy human elements of this. At The Timebank, we can help with that. Come chat to us today.

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