Advice Please

Hi,

My husband and I are starting the process of divorce. Very early stages.

He has a pension that he started drawing on about 4 years ago at the age of 55.

He finished paying into it in 2003 when he was made redundant. It was a company pension that he paid into for about 28 years.

I said he would need to get a CETV but he said no, there is no pot to divide, as he's already drawing on it. I would only get 1/2 his weekly amount. He said the pension company were sending a letter to say this.

I don't know what type of pension it is but he said he gets about £200.00 per week.

I'm a bit lost on what to do, as he doesn't want me to have any of it but I own the house outright, it was gifted to me about 14 years ago and he wants 1/2 of that. Doesn't seem fair.


Any help would be much appreciated.

Thank you.

Pensions in payment can and should be valued and put in the pot. With that income it is likely to be extremely valuable.

The pension providers will usually charge a fee for the valuation.

How long were you married for?

Hello,

Thank you for your reply.

He says there is nothing there, as he is already drawing on it and they are sending a letter to say this, although nothing has come yet.

I assume that as he is drawing on it, there is a 'pot of money' it is coming from, so must be worth something.

We will have been married for 15 years this week.

The divorce petition hasn't gone in yet and no financial details have been done with solicitors.

Any advise would be a great help. I don't think it's fair that he should get half my house but he says I can't have his pension.

Thank you.

If it is a defined benefit (sometimes called 'final salary') pension then in one sense he is correct, there is no specific pot of money in his name, just a promise from the trustees to pay the pension for the rest of his life.

However, and this part is important, EVERY pension in the UK, even if it is already in payment, is capable of being shared in a pension. This is guaranteed by legislation. The pension providers must, when requested, value the pension - called a CEV (cash equivalent value). They are allowed to charge for providing the valuation.

How a pension is shared depends on the individual pension scheme. Some will allow a transfer into a pension in your name as a cash sum, others will set you up with a pension in their scheme and will pay you (when you are old enough) a monthly pension.

Now I suspect you don't actually want to do either of these, but want to 'offset' the value of his pension against your house so he is not entitled to as much, if any, equity.

This brings up a whole other set of complications, such as is the CEV calculated a fair representation of his pension. To see if you want to pursue this further you can ask an actuary for an "Express Pension Valuation" .

If he won't engage with the process of disclosure (i.e. getting the pension valuation) then you will need to apply to court and the court will order it be produced.

Hi,

Thank you so much for this information.

I am quite willing to offset his pension against his part of my house. I don't want to lose my house, as it's been in my family for 4 generations and was gifted to me.

I have asked him to get a CEV but he says that they said that doesn't apply, as his pension is being drawn. No letter has appeared from them yet to say this. I think maybe I am being spun a tale here to try and get me to back down.

Do I ask the solicitor to contact an actuary for an "Express Pension Valuation" or is this something I do myself? I have no idea where to go for an actuary and would I have to have his pension details? I don't know anything about it. Do you know what the approximate costs for this would be too?

Apologies, I am very naive in all this and generally a very trusting person. This means that he could take advantage of this, as my nature is to trust what is being said to me.

Just feel a bit lost really but don't think I can be with someone I no longer respect and who is willing to be so manipulative and bullying.

Thank you.

Please don't trust what he is saying, at least without checking it here or with a solicitor.

He is looking after his own best interests, yes you are being spun a tale.

In order to even get an express valuation (which you can do) you would need to know the name of the scheme (or at least the name of the company he worked for - if it was a large employer the actuary would be able to access details).

The express valuation would not be admissable in court, but would give you an idea of how much it would be worth.

Thank you Luna.

We had a run in last night. He wanted to talk. Started off ok but then was awful, he said that if I was funny with him, he'd strip everything he's put in the house out, he'd ruin it. Basically he's wants to crush me and take what he wants.

But, he loves me, would love us to be a couple, stay together in the house etc. Not now, I couldn't.

I have shown him the house valuations, which he doesn't believe. Thinks they are too low.

He still hasn't produced anything from his pension company. The 'letter' has not arrived. I don't think he contacted them at all, do you?