Justice Secretary, Mr Kenneth Clark, wants to save at least £40million from the annual justice budget of £2.1billion, and suggests State funded legal assistance for divorce should cease. This proposal raises the spectre of hundreds of thousands of divorcing spouses, either paying for their own legal advice, representing themselves, or following the American system of taking out 'before the event' insurance policies against the cost of divorce.

With one in three marriages resulting in divorce, should couples contemplating marriage be adding insurance to their wedding arrangements?

All too often, couples contemplating marriage spend a great deal of time and money selecting flowers, colours, wedding dresses and gift lists. Sadly, too few couples spend time improving their communication, or understanding their respective attitudes towards financial management, financial risk, child rearing issues, discipline and communication. Perhaps couples should focus more on developing their relationship and examining their compatibility, and perhaps, if so, the divorce rate would reduce.

The Supreme Court Judgment of Radmacher and Granatino adds legal force to the enforceability of Prenuptial Agreements. A properly drafted Prenuptial Agreement, where both parties receive independent legal advice, enter into negotiations freely and without duress, and share full and frank financial information can be binding. This means couples can plan in advance of their marriage how future assets may be divided in the event the marriage does not succeed, and also means couples are far more likely to understand their respective attitudes towards finance and risk, leading to a stronger, deeper and, one hopes, lasting partnership.

Surely the expense of preparing such an agreement may provide a greater return than the cost of flowers, and a greater return than insurance against divorce.

The implications seemed to be that, failure to be honest with your spouse about your behaviour at a time when you are seeking their support in relation to financial transactions, such as re-mortgaging the house, using the family home as collateral in a business venture, or encouraging them to be party to a loan, or indeed taking a loan in their own name to assist, could see the Courts treating this behaviour as undue influence. The burden of that debt could then fall squarely on your shoulders should the marriage fail and your affair at the relevant time be discovered.

The expertise of the Howes Percival Family Law and Private Client Team includes matters relating to wealth management, family businesses, trusts, offshore financial structures, farming businesses, property-related issues and pension arrangements. Highly skilled in their work with individuals and families, the team also advises on a wide range of relationship and family concerns, including child residency and support, other dependents, divorce, and pre and post nuptial arrangements.

To find out more about any family law matter, call Jane Cowley on 0116 247 3596 or email jane.cowley@howespercival.com.