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Increase to Probate Fees from May 2017
Increase to Probate Fees from May 2017

Increase to Probate Fees from May 2017

Posted by on April 11, 2017 in AF1, AF5, CF1, R01, R03, R06
Last updated on September 25th, 2019 at 4:32 am

This article was written before the surprise 2017 General Election was announced. The probate fees were scrapped at that time with no indication if they will go ahead after the election.

Probate fees are being increased from May 2017. This article discusses these increases and outlines the various options available to executors for fee payment. Those who are revising for any of the CII AF1, AF5, CF1, R01, R03 or R06 exams will find this to be useful reading.

As we all know a grant of representation is needed for someone to deal with a deceased person’s estate.   Currently, the probate court fee is £215 where the net estate is over £5,000 (net estate is the amount remaining in the deceased’s sole name after funeral expenses and debts have been deducted) plus 50p for extra copies so if there is a net estate of £75,000 the total probate registry fee is £217 where 4 copies of the grant are needed.    Where the net estate is under £5,000, then there is no probate court fee, but 50p is charged for each copy.

Probate fees are being increased from May as follows:

Table of Probate Fees Effective May 2017 - Header Row Col1: Value of Estate Before Inheritance Tax; Header Row Col 2: Fee; Header Row Col 3: Reduction/Increase Row 1 Col 1: Up to £50,000 or exempt from needing a grant of probate; Row 1 Col 2: £0; Row 1 Col 3: Reduction of £215 Row 2 Col 1: Exceeds £50,000 but does not exceed £300,000; Row 2 Col 2: £300; Row 2 Col 3: Increase of £85 Row 3 Col 1: Exceeds £300,000 but does not exceed £500,000; Row 3 Col 2: £1,000; Row 3 Col 3: Increase of £785 Row 4 Col 1: Exceeds £500,000 but does not exceed £1m; Row 4 Col 2: £4,000; Row 4 Col 3: Increase of £3,785 Row 5 Col 1: Exceeds £1m but does not exceed £1.6m; Row 5 Col 2: £8,000; Row 5 Col 3: Increase of £7,785 Row 6 Col 1: Exceeds £1.6m but does not exceed £2m; Row 6 Col 2: £12,000; Row 6 Col 3: Increase of £11,785 Row 7 Col 1: Above £2m; Row 7 Col 2: £20,000; Row 7 Col 3: Increase of £19,785

Probate fees are being increased from May 2017 Share on X

The government has said that 92% of estates will pay £1,000 or less; 98% will pay £4,000 or less and less than 2% of estates will pay £8,000 – £20,000.  They have also said that executors have the following options to pay the fees:

  • Using cash in the deceased’s estate
  • Using personal assets of the executor (who can reclaim as a credit against the estate)
  • Using funds from beneficiaries of the estate
  • Taking out a loan
  • Using a probate company or solicitor who may be willing to pay the fee upfront
  • Using the proceeds of a life insurance policy that has been written in trust
  • The option of using NS&I and gilts held in the estate is being investigated (these can currently be used to pay IHT)

Grab the resources you need!

If you’re studying for your CII R03 exam, and you’re wanting to feel confident on exam day, grab our free taster to try out one of Brand Financial Training’s resources for yourself.  Click the link to download the R03 calculation workbook taster now!

Click here to download our free calculation workbook taster for CII R03

Alternatively, you can download taster resources for AF1, AF5, CF1, R01 or R06 if you’re revising for one of those exams.

Over to You…

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