Putting off taking financial advice could be a costly mistake

Have you ever talked yourself out of seeking professional financial advice?

You are not alone, almost half (49%) of over-50s who are not yet retired have done the same thing. But, with research by Dunstan Thomas showing that those who take financial advice could enjoy £13,000 more each year in retirement than those who don't, it is worth challenging that decision.

Why do people avoid taking professional financial advice?

According to research from Retirement Advantage, cost and trust are the top factors deterring over-50's from seeking professional advice. In a study of people who had yet to retire:

  • 42% said that the cost of financial advice put them off
  • 31% do not feel that they can trust financial advisers
  • 31% do not think that taking financial advice is necessary
  • 18% do not think that financial advice will benefit them
  • 15% said that they can get the advice they need directly from their pension adviser

Where else do people turn for advice?

Rather than seeking advice from a professional, respondents said that they have, or will, get their information from:

  • The internet (44%)
  • The Government's Pension Wise guidance service (42%)
  • Their pension provider (35%)
  • Their employer (18%)

There is a range of great information available on the internet for those who want to understand their finances and options better. However, this information is very generalised and will not be tailored to your own needs and circumstances. The same is true for the Pension Wise guidance service, they are in place to give you the facts, not recommendations.

Consulting your pension provider may seem like a logical decision, but bear in mind that they are a business. As a business, their main aim is to retain you as a customer and ensure that you keep your money in a place where they can benefit from it. That means that they are unable to make recommendations of more suitable products from other providers, as they are restricted to their own range.

Unless they work as a financial adviser or planner, your employer is not qualified to give financial advice.

Is financial advice worth the cost?

In short, yes.

When compared to other sources of financial information, independent financial advice is priceless. Whilst guidance and facts are available in abundance, both online and through guidance services, it does not compete. Financial advisers and planners work to get to know your situation, then suggest strategies, services and products which work both with you and for you, to help you to reach your financial goals.

The advantages of taking independent financial advice include:

  • Unbiased information: The advice you receive from an adviser will not be designed to sway you toward a particular provider or products
  • Ongoing education: Financial advisers work hard to keep their knowledge up to date. That means that any information they give to you is guaranteed to be correct, whether financial, legal or product-based
  • Experience: Your financial adviser will be able to make applications, handle paperwork and communicate with other professionals in a very efficient way. It is common for those who choose to undergo complex financial processes alone to get confused or take longer than those with help
  • Protection: As financial advisers are regulated by the Financial Conduct Authority (FCA), you get peace of mind, knowing that you are supported in the event of unexpected issues

It is vital to ensure that you do not view the value of financial advice on the cost alone. Consider the value of an ongoing relationship with a professional who is available to help you to make complex, and sometimes, life-changing decisions when you need them.

If that is not convincing enough, Unbiased.co.uk has found that people who take financial advice boost their assets by £41,099, on average.

For more information and to find out how we can help you, please get in touch.


Budget 2017 first rise in Pensions Lifetime Allowance for seven years

For many people, Philip Hammond's announcement that the Lifetime Allowance will be rising is welcome news.

As part of the Autumn 2017 Budget, the amount you can hold in a pension fund, without incurring taxes, will rise by £30,000; from £1,000,000 to £1,030,000, effective from April 2018. This is a welcome increase, considering that the Lifetime Allowance started at £1.5 million in 2006/7, rose to £1.75 million in 2010/11 and fell to £1 million, where it remained until the budget announcement.

But what does that mean for you?

Understanding the Lifetime Allowance

The Lifetime Allowance is the maximum amount you can hold in your pension, before tax will apply. This includes all forms of pension, including the capital value of any Defined Benefit pension plans.

Your pension is 'tested' against the Lifetime Allowance when certain trigger events occur. These include:

  • When you move money into drawdown
  • Death
  • When lump sums are paid, including those paid in the event of ill health
  • If you choose to transfer your pension fund to a qualifying recognised overseas pension scheme (QROPS)
  • If your pension increases beyond a certain limit
  • In some cases, when you reach the age of 75

If your pension value is above the Lifetime Allowance, the value by which it is over the threshold will be subject to tax at:

  • 55% of lump sums
  • 25% of pension income

Who will benefit from the increase, and how?

The rise in the Lifetime Allowance will affect most people who are saving, preparing and already receiving, their pension.

For those in the early stages of saving toward retirement, the increase should offer increased possibilities to make the most of your pension funds, in the future, whilst minimising the amount you lose in tax. Of course, the Allowance is not guaranteed to continue rising indefinitely, but this rise does signal an improvement.

If you will be reaching retirement age in the next few years, the rise could not have come at a better time for you. When your funds are crystallised, the total value will be checked against the new, higher rate. This means that you will be able to keep more of the money you have worked hard to save.

For those who are already retired and receiving their pension in some way, the Allowance rise will offer more flexibility in the amount you can access before incurring tax. However, if you have already exceeded the Lifetime Allowance, the rises will not affect you and it is best to seek professional advice to see how you can manage your remaining pension funds as tax-efficiently as possible.

For more information on how this affects you and tax-efficient methods of saving, contact us.

Please note:

The value of pensions and investments and the income they produce can fall as well as rise. You may get back less than you invested.

Levels, bases of and reliefs from taxation may be subject to change and their value depends on the individual circumstances of the investor.


Autumn Budget 2017: Were you a winner or a loser?

Every Budget has winners and losers; with some people faring better than others.

So, how did you fare? Read on as we reveal whether you are a winner or a loser after Philip Hammond's second Budget of 2017.

Winners

First-time buyers

Those buying a home for the first time will now benefit from the abolishment of Stamp Duty on homes up to the value of £300,000. To ensure that this can help first-time buyers in high value areas, such as London, the first £300,000 will be exempt from Stamp Duty on homes above this value to a maximum of £500,000.

The Chancellor said that this would mean: A Stamp Duty cut for 95% of all first-time buyers who pay Stamp Duty.

Under 30s who travel by train

The 16-25 railcard will now be available to people aged up to 30. The so-called 'Millennial Railcard' will be available next year, and will offer savings of up to a third off non-peak fares.

Whilst the railcard won't provide savings for regular commuters travelling in peak times, it will benefit people travelling at less busy periods.

People claiming Universal Credit

Measures will be put in place to support those claiming Universal Credit, such as the removal of the seven-day waiting period for benefit claims. This means that benefits will be paid on the day of the claim, giving families access to money for rent payments. Advances will also be able to be applied for online, and the repayment period for advances will increase from six to 12 months.

Any new claimant in the receipt of housing benefits will continue to receive them for two weeks, meaning that benefits aren't lost in the crossover period.

People earning the National Living Wage

The National Living Wage will be increased by 4.4%, rising from £7.50 per hour to £7.83 per hour. This will take effect from April 2018.

Taxpayers

From April 2018, the tax-free Personal Allowance will be increased from £11,500 to £11,850.

The higher rate threshold will be increased from £45,000 to £46,350.

People saving into pensions

For once we had a Budget where no changes were announced to pension tax-relief or allowances.

Drinkers

The duty on ciders (except white cider), wines, spirits and beer will be frozen, meaning those buying alcoholic drinks will see no price increase next year.

Air passengers

From April 2019, short-haul Air Passenger Duty rates and long-haul Air Passenger Duty rates will be frozen. This will be paid for by an increase on Premium class tickets and private jets.

Drivers

The scheduled fuel duty rise for both petrol and diesel vehicles in April 2018 has been cancelled. This is expected to save a typical driver £160 per year.

Small businesses

The VAT threshold for small businesses has been maintained for the next two years at £85,000.

A planned business rate switch from RPI to CPI has been brought forward by two years, to April 2018. This is expected to reduce the burden of business rates by an extra £2.3 billion.

Pubs

A £1,000 business rate discount will be made available to pubs with a rateable value of less than £100,000 for one more year, to March 2019.

Homeless people in the West Midlands, Liverpool and Manchester

A £28 million pilot scheme will aim to tackle the problem of people sleeping rough in the West Midlands, Manchester and Liverpool.

House builders

Over the next five years, £44 billion in capital funding, loans and guarantees will be allocated to deliver 300,000 new homes per year. This includes £1.5 billion to help smaller firms build more houses.

GCSE computer science students

The number of trained computer science teachers will be tripled to 12,000, with the aim to place a fully qualified GCSE computer science teacher in every secondary school.

Anybody charging their electric car at work

A new £540 million charging infrastructure fund will support the growth of electric cars. This will provide more charging points, especially at places of business.

New tech businesses

£20 billion of new investment has been unlocked for UK-based businesses in the technology sector. This consists of a new fund of £2.5 billion that has been allocated for emerging UK businesses, designed to replace European investment funds post Brexit.

Losers

Economy

The Chancellor started his speech by revealing a series of forecasts showing growth in the economy is expected to be significantly lower than predicted earlier in the year.

Diesel car drivers/ businesses

Drivers of diesel cars, which do not meet the latest pollution standards, will see their Vehicle Excise Duty (VED) rise by one band in April 2018.

The existing diesel supplement in company car tax will rise by 1%, the proceeds from which will be used to create a new £220 million Clean Air Fund.

Premium and private air travellers

Increase in prices for premium and private air travel to compensate for a freeze on duties for short-haul air passengers and long-haul economy air passengers.

Employers

The National Living Wage for those aged 25 and over will rise by 4.4% to £7.83 per hour from April 2018.

Smokers

The duty on tobacco, hand-rolled tobacco and the minimum excise duty on cigarettes, which is due to be introduced in March, is set to rise by 2% above the Retail Price Index (RPI) inflation.

People selling their business

Freeze for indexation allowance on Capital Gains Tax. Companies will receive relief until January 2018.

Empty property owners / investors

Local authorities will be given the power to charge a 100% council tax premium on empty properties.

Here to help

If you have any questions about today's Budget please call us on the usual number; we are here to help.


Autumn Budget 2017: Everything you need to know

The Chancellor, Philip Hammond rose to his feet at 12.38 to deliver his second Budget of the year.

The days leading up to the Budget have been dominated by talk of housing, Universal Credit and, most surprisingly, rail cards.

Mr Hammond started in a bullish and optimistic mood, saying: I report today on an economy that continues to grow, continues to create more jobs and continues to confound those who seek to talk it down. He then turned to Brexit, saying that the UK will be prepared for every possible outcome of the current negotiations.

As convention dictates, the Chancellor then moved on to the latest economic data and forecasts for the years to come.

The economy

The Chancellor confirmed that:

  • Gross Domestic Product (GDP) has been substantially revised down, and is now predicted to grow by 1.5% in 2017, 1.4% in 2018, 1.3% in 2019 and 2020, 1.5% in 2021, 1.6% in 2022
  • Inflation, as measured by the Consumer Prices Index (CPI), will peak at 3% in this quarter, while the Bank of England's inflation target will remain at 2%
  • Borrowing will continue to fall in years to come, to reach its lowest level in 20 years in 2022 / 23 when it will be £25.6 billion. This year, borrowing is predicted to be £49.9 billion; £8.4 billion lower than forecast in the Spring Budget

He then moved on to a raft of announcements.

Research and Development (R&D)

Mr Hammond said: "We are allocating a further £2.3 billion for investment in R&D (research and development) and we'll increase the main R&D Tax Credit to 12%."

Tech businesses

The Chancellor said that a new tech business is founded in the UK every hour; he said he wanted that to be every half hour.

To help achieve that aim, Mr Hammond unveiled a range of measures, including a new public fund and an improvement in EIS (Enterprise Investment Schemes) tax-relief for investments made into 'knowledge intensive' companies.

Cars

It was announced that people who drive an electric car, and charge it at work, will not face benefit-in-kind tax charges. Furthermore, a £400 million charging infrastructure fund was also unveiled.

Older diesel cars will face higher road-tax. Although Mr Hammond was keen to point out that no white van man or white van woman will have to pay the increase.

Environment

Referencing the BBC's Blue Planet programme, Mr Hammond announced that the Government will explore new taxes on plastic waste.

Education

Mr Hammond announced measures to promote maths teaching in schools, including a £600 payment to schools and colleges for each child who studies A-Level or core maths.

Universal Credit

Mr Hammond said that Universal Credit was a necessary and long-over due reform, where work always pays and people are supported to earn.

However, he went on to announce several key changes:

  • The seven-day waiting period will end
  • The system will change so that households can get an advance for a full months' payment within five days
  • People claiming an advance will now have 12 months to repay it

Mr Hammond said this was a £1.5 billion package to help people with the change to Universal Credit.

National Living Wage

The National Living Wage, for people aged 25 or over, will increase from £7.50 to £7.83 from April 2018; a £600 per year rise for full-time workers.

Income Tax

Mr Hammond announced that from 6th April 2018 the Personal Allowance, the amount which can be earned before income tax is paid, will rise to £11,850 from £11,500 in the current tax year .

The higher-rate tax threshold will also rise to £46,350 from the same date.

No changes were announced to the rates of Income Tax.

Alcohol & tobacco

Duty will be frozen on wines, spirits, cider (except white cider) and beer.

The cost of tobacco will rise by inflation, plus 2%.

Travel

A new railcard for people aged 26 - 30 will give a third off rail fares.

The Chancellor also announced that the scheduled rise in fuel duty, due to take effect in April 2017, will be cancelled.

Also, short-haul Air Passenger Duty will be frozen. However, there will be an increase on premium class tickets and private jets.

NHS

Mr Hammond spoke of the Government's commitment to the NHS.

He then announced an additional £10 billion of capital investment, as well as £2.8 billion, day-to-day funding over next three years.

Corporation Tax

The Chancellor announced no changes to the rates of Corporation Tax.

Business owners

Mr Hammond said: "There is a case now for removing the anomaly of indexation allowance for capital gains - bringing the corporate system into line with personal capital gains tax. I will therefore freeze this allowance."

This measure will increase the tax bills paid by people selling their business.

Pensions

Despite the usual speculation, and for the first time in many years, the Chancellor announced no significant changes to pension legislation, tax-relief or allowances.

There's no doubt that will come as a relief to those people using pensions to plan for their retirement.

VAT (Value Added Tax)

Despite pre-Budget speculation, the Chancellor announced that the VAT threshold will remain frozen at £85,000 for the next two years.

However, a consultation on the structure of VAT was also announced.

Small businesses

The way in which business rates are increased each year will change.

From 2018, they will now rise in line with CPI (Consumer Prices Index) and not RPI (Retail Prices Index) saving £2.3 billion.

Housing

In perhaps the largest section of his speech Mr Hammond said: Getting on the housing ladder is not a dream of your parents' past but a reality for your future.

He then outlined some of the Government's accomplishments, but was clear that there is more to do to increase house building and help younger people onto the housing ladder.

Mr Hammond announced a £44 billion package of funding, loans and guarantees to help the housing market.

He also announced local authorities will now have the power to charge a 100% Council Tax premium on empty properties.

Finally, new measures to combat homelessness and rough sleeping were also announced.

First time buyers

The Chancellor announced that, from today, Stamp Duty will be abolished for all first-time buyer purchases up to £300,000.

To help first-time buyers in high price areas no Stamp Duty will be payable on the first £300,000 on property purchases up to £500,000. This is a stamp duty cut for 95% of all first-time buyers who pay stamp duty.

Here to help

If you have any questions about today's Budget please call us on the usual number; we are here to help.


Interest rate rise: How will it affect you?

It's taken more than 10 years, but it's finally happened.

The Bank of England has decided to increase interest rates with the Monetary Policy Committee (MPC) voting by 7-2 to increase base rate from 0.25% to 0.5%, principally in response to inflation hitting 3%.

The rise was modest, not that you would have thought so from the acres of coverage it got, and only takes rates back to where they were in August last year. However, with inflation stubbornly above target, it is probably a sign of things to come.

As the hysteria dies down, it's only natural to ask: how will this affect you? And, when can we expect further rate rises?

How will you be affected?

Homeowners with a variable rate mortgage: If you are one of the 3.7 million (Source: Bank of England) people with a mortgage arranged on a variable or tracker rate, you can expect to see your payments rise.

Over the coming weeks your bank or building society will be in touch to let you know how much more your mortgage will cost each month.

Homeowners with a fixed rate mortgage: Those people with a fixed rate mortgage won't be immediately affected by the rate rise. However, when their current mortgage deal comes to an end, the products available will reflect this, and any subsequent increases.

People with unsecured debt: The increase of 0.25% is relatively insignificant compared to the interest rates charged on some unsecured debt, especially credit cards and payday loans. Furthermore, the average interest rate charged on a personal loan is just 3.7%, half that of 10 years ago (Source: BBC).

However, it should serve as a wake-up call for those people with large amounts of unsecured debt; with further rate rises expected, now is probably the time for consumers to consider reducing their indebtedness.

Savers: Mark Carney, the Governor of the Bank of England, made it clear he expects the rate rise to be passed on to savers in full. However, such a modest rise will do nothing to bring a real return, where the interest rate exceeds inflation, any closer for savers.

Future pensioners: Although less popular than in years gone by, anyone planning to use an Annuity to turn their pension into an income can expect rates to rise slightly as a result of the increase to interest rates.

When can we expect further rate rises?

Mark Carney isn't known for the accuracy of his crystal ball. However, he believes interest rates will have to rise twice more over the next three years.

The uncertainty over Brexit, inflation and the wider economy means this prediction must be treated with some scepticism. However, it's clear that if inflation continues to remain above the Bank's target of 2%, interest rates will have to rise further.

No need to panic

The increase of 0.25% is modest and won't, immediately at least, affect anyone with a fixed rate mortgage.

However, there's no doubt it's symbolism or that it is potentially a sign of things to come. That means mortgage borrowers, many of whom will have never seen an interest rate rise, should start to prepare for future rate rises.

If you are considering your mortgage and lending options in light of this rate rise, Beaufort Capital Solutions is a new, dedicated financial solutions service, designed for the exclusive use of Beaufort Group partners and professional connections; providing assistance across a vast range of financial requirements for clients; from residential, to commercial, to business finance - on an advised or referred basis.

For more information, please visit:www.beaufortcapitalsolutions.co.uk

 


Moneyfacts Testimonials

One of the most pleasing elements of being shortlisted at the Moneyfacts Retirement Adviser of the Year Awards were the testimonials left by clients and other professionals. Below we highlight a couple. We are grateful to all who provided feedback to Moneyfacts

"I have known Paul Gorman for 18 years and he has never waivered from his principles of providing me with common sense professional advice...presented in a professional manner and easy to understand.

I am contacted each year without fail for a comprehensive review of my investment and pension affairs and his personal insight and knowledge is backed by a sophisticated Beaufort Financial Planning analysis report.

His value was highlighted after a period of ill-health forced me to retire several years earlier than anticipated. This required a drastic reappraisal of our financial affairs,specifically the need to draw income from my SIPP and to assess how to get the best returns from my portfolio. Paul provided informed taxation advice which enabled me to prioritise where best to take my income from and his income & capital projection information helped calm my fears as to whether my wife and I had sufficient funds to see us into old age.

In fact the word "calm" is highly relevant as, in addition to his undoubted knowledge, Paul's ability to be objective and calm at all times is a great comfort when one is inclined to over-react to market fluctuations etc.

I have recommended Paul to friends and colleagues as I have total confidence in him and I fully support his deserved nomination ."

 

 

"Paul has given us huge confidence in his knowledge of the investment industry & has taken the time to understand our individual situation & aspirations. Always friendly & understanding & able to communicate complicated financial matters in layman's terms."

 

 

"Paul has been a valuable professional contact for some years and has been able to help with a number of clients facing family breakdown and transition. Paul has used his years of expertise and knowledge to help clients deal with all aspects of wealth planning and financial issues arising whether they are in the Mediation Process, Collaborative Process or the traditional family law process. Paul is considerate to client's difficulties and extremely knowledgeable. We have complete confidence in him to ensure that the client's needs are well taken care of at every step and have no hesitation in referring our clients to him."

 


Beaufort Securities

There have been a number of extremely negative trade press stories recently regarding an investment company called Beaufort Securities. Formerly a stockbroking business called Hoodless Brennan, Beaufort Securities has been censured by the Financial Conduct Authority on a number of occasions and is no longer trading as a Discretionary Fund Manager.

We would like to reassure our clients and professional partners that Beaufort Financial has no association whatsoever with this company. Given the similarity of the name, we would recommend that you check the full company name of any emails you receive from any firm purporting to be Beaufort.

If you have any concerns or queries, please do contact us.


Update on state pensions: essential reading for the under 50s

Recent changes announced by the government to the state pension will result in nearly six million people currently in their forties having to wait longer until they can retire. It's a development which has raised concerns over the dependability of the state pension, which for many makes up the lion's share of their retirement income and is the most valuable state-funded perk for even more people.

For the seven decades between 1940 and 2010, the state pension age remained constant for both men (65) and women (60). However, thanks to the 1995 Pensions Act, the age for women was increased to 65, a change which was to be phased in between 2010 and 2020. This was then altered further when the Conservatives and Liberal Democrats formed the coalition government in 2011, speeding up the process so that the age for women would increase to 65 between April 2016 and November 2018, with a further increase to 66 for all working adults from April 2020.

Under these plans, the state pension age would be 68 for those born after 6th April 1978. But the changes announced in July this year mean that window will increase to include those born between 6th April 1970 and 5th April 1978. The pension age for anyone currently under 39 is yet to be confirmed. The changes are likely to affect the younger generations who have lost out through the closure of 'final salary', or 'defined benefit' pension schemes.

Those in their late 30s and 40s are being described as the 'sandwich generation', being as they've missed out on the final salary pension schemes enjoyed by older generations, but are now too far through their working lives to feel the full benefit of automatic enrolment which younger generations will experience.

However, there are further concerns that things could change yet again, as the government has stated that law on the proposed pension changes won't be passed until 2023, essentially preparing to pass the legislative aspects on to a future government. Thanks to Theresa May's weakened position and Labour's opposition to the proposed increases to state pension age, the changes may not happen at all.

As such, there have been calls from those in the financial world for an independent body to oversee any future changes, as well as the establishment of a national savings strategy to help people with their savings and investments to provide for their future.

Sources
Telegraph

What does the nil rate band really mean for me?

Changes to inheritance tax (IHT) came in earlier this year, affecting the allowance for those wanting to pass on their home to members of the family. But as the changes are being rolled out over the next few years up to the 2020/21 financial year, it can be hard to know if and how the changes will affect you.

The current amount you're able to leave in your estate without incurring IHT is £325,000, known as the nil rate band (NRB). Anything above this amount incurs 40% tax, with certain exceptions, such as gifts to charities, being able to lower that percentage. Any transfers between spouses or civil partners are exempt from IHT even if your estate exceeds the NRB, with married or civil partnered couples having £650,000 - twice the NRB limit - to offset against their combined estate.

Introduced in April this year, the residence nil rate band (RNRB) adds a further £100,000 to the NRB. This will then increase by £25,000 each year up to 2020/21, when it will reach £175,000. Each person will therefore have a maximum allowance of £500,000, with surviving spouses having an allowance of £1 million to offset against IHT when their partner's allowance is transferred to them.

The RNRB differs from the NRB in that it doesn't apply to lifetime transfers, such as transfers into trusts or gifts given by an individual within a period of seven years before they died. This means that whilst the NRB could potentially be consumed through gift-giving in the last seven years of a person's life, the RNRB would still be fully available.
Back in 2015, when the RNRB was first discussed, there were concerns over discouraging older couples from downsizing or selling their home to move in with a relative or to residential care. Since then, however, the rules have been readjusted so that the allowance can still be utilised by those who sell up or move to a smaller home before their death, as long as the deceased leaves the downsized property or equivalent valued assets to their direct descendants.

Whilst there's no limit on how much time passes between the downsizing or property sale and death, the transaction needs to have taken place after 7th July 2015 in order to qualify. RNRB also only applies to one property which the deceased needs to have lived in at some point before dying, meaning that buy-to-let properties or those in discretionary trusts don't apply. If the deceased owned multiple homes, personal representatives are able to nominate which property should qualify for RNRB.

It's also important not to fall into 'the sibling trap' - leaving a home to a sibling rather than a direct descendant such as a son or daughter, which disqualifies them from being able to use the RNRB. If you have any questions around IHT, NRB or any of the issues discussed in this article, please feel free to get in touch.

 

Sources
gov.uk

A real life example of a discretionary trust in operation

Earlier this year, an extended civil restraint order (ECRO) made in 2015 against Rupert Jolyon St John Webster was renewed for a further two years. Rupert Webster believes his lawful share of property that had belonged to his grandparents, Antony and Valerie Webster, has been denied to him.

His grandparents had placed The Priory, their farmhouse and main property, into a discretionary trust in the early 1990s for tax planning reasons. The couple's four children were named as the beneficiaries of this trust. Antony Webster died in 1996, but after the death of his father Valentine in 2006 and his grandmother in 2007, Rupert claimed that his grandparents had promised The Priory to Valentine some time ago. This, he claimed, now made the farmhouse his by right of succession.

As such, Rupert brought a claim in proprietary estoppel against the estates of his grandparents, which was dismissed in 2013 by the England and Wales High Court. Rupert unsuccessfully attempted to appeal the decision three times, then entered charges against the property at the Land Charges Registry in an attempt to protect his alleged substantive rights. A court order to remove these charges was successfully obtained in 2014 by the executors of Rupert's grandparents' estate - John Penley, the family solicitor, and Rupert's aunt, Virginia Ashcroft.

Rupert subsequently brought a new claim seeking possession of part of the property, which was struck out in 2015. The judge also issued an injunction preventing Rupert from entering the property, from interfering with the sale or marketing of the property, from making any entry on the property's title without court permission, or from publishing or using words to the effect that he had an interest in the property or that his permission was required before its disposal.

Rupert attempted to have the injunction varied, but this was refused. The judge then made the initial ECRO against Rupert, restraining him from issuing any claim or application against the executors for two years. Rupert nonetheless lodged three more claims against them, challenging the valuation of the farmhouse, which were also deemed meritless and struck out.

When the ECRO expired, the executors applied for renewal due to Rupert's actions during the two year period. These included trying to resurrect his original claim, appealing the dismissal of his claims, and issuing new claims over breaches of his human rights during the past two years. The executors also cited the cost of both time and money of Rupert's actions, as well as the fact that there was no real prospect of these costs being repaid, due to Rupert having already lost his house, office and agricultural business to pay legal costs.

The judge accepted these arguments, stating that Rupert continued to pose 'a clear and serious risk' to the claimants, to the new owners of the farmhouse and to the administration of public justice, and extended the ECRO to March 2019.

The story serves as an example of the power of discretionary trusts to protect assets from younger generations, if needed.

Sources
Step