DIY divorces leave women with uncertain financial futures, report says
As around 26% of divorcing spouses now opt for DIY divorces and eschew the professional advice of a divorce lawyer, pensions are being widely overlooked in the financial claim and this means that many women will have an uncertain retirement in monetary terms.
The research found that of the women who had made pension arrangements during the life of their marriage, at least 38 per cent of them did not know what had happened to the asset as part of their financial settlement on divorce.
Only 6 per cent of women received a pension sharing or earmarking order on divorce and this means that many women are losing out on a valuable matrimonial asset.
Divorce lawyers suspect that many women do not realise they have a claim on their husband’s pension, but the Welfare Pensions and Reform Act means that divorcing spouses can split pension assets just as they would share liquidated funds or transfer the matrimonial home.
Startlingly, the research also revealed that 20 per cent of women also stop paying into a pension once their divorce is finalised and around a quarter reduce their savings in an attempt to remain solvent.