Navigating the Trust Registration Service: what you need to know

Social media has made legal information more accessible than ever, but it has also made misinformation easier to spread. Inaccurate guidance about Wills, Probate, and Inheritance Tax can result in costly mistakes.

Below, we address some of the most common myths we see online and the reality behind them.

1. "If there is a will, no probate is required"

This is not true. Whether someone dies with or without a Will does not determine whether probate is needed, only what type of grant is issued.

• If there is a valid Will, the executors typically apply for a Grant of Probate.
• If there is no Will, the next of kin applies for Letters of Administration.

This aligns with UK guidance on the distinction between Probate and Letters of Administration, where the key factor is simply whether a valid Will exists.

2. "Solicitors always charge a fixed percentage of the estate, and it is always expensive"

This is a generalisation. Some firms charge a percentage, but many, including LCF Law offer fixed fees and hourly rates options.

Our approach is to be transparent, provide detailed cost breakdowns, and help clients choose the option that suits them best.

3. "Probate takes years to obtain"

Many people confuse probate (the grant itself) with estate administration (the whole process).

• Current UK data shows that Probate Registry processing times for most online applications average 4–12 weeks, with digital applications often taking even less.
• Paper applications take longer but have still improved, averaging around 15 weeks.

However, the full administration, collecting assets, selling property, settling debts and distributing funds can take months to several years depending on complexity.

At LCF Law, we give time‑scale estimates at the outset and keep clients updated throughout.

4. Putting assets into children's names avoid tax"

This myth is misleading and potentially dangerous. Here’s the reality:

Inheritance Tax (IHT)

• Gifts are generally classed as Potentially Exempt Transfers (PETs): you must survive 7 years for the gift to fall outside your estate.
• If you gift a property but continue to live in it rent‑free, HMRC treats it as a Gift with Reservation of Benefit and includes the full value in your taxable estate, even decades later.

Capital Gains Tax (CGT)

If the gifted property is not the donor’s principal residence, CGT may be triggered on the transfer.

Care Fees

Gifting assets may be treated as deliberate deprivation of assets, and local authorities can investigate without any time limit, including looking back 20+ years.

In summary: gifting property rarely achieves the tax or care‑fee outcomes people expect.

5. "Putting your property into a trust avoids care home fees"

Again, this is incorrect. Local authorities can treat placing assets into trust as deprivation of assets if done to reduce care fees and can assess transfers without a 7‑year limit.

Guidance confirms councils may treat the person as still owning the assets or seek recovery from the trust or beneficiaries.

Trusts can be powerful planning tools, but not for avoiding care fees.

6. "Taper relief applies to all gifts"

Not true. Taper Relief only reduces the tax payable, not the value of the gift and only applies when:

• The donor dies between 3 and 7 years after making a gift.
• The total value of gifts exceeds the Nil Rate Band (£325,000).
• If the gift does not exceed the Nil Rate Band, no taper relief applies.

How LCF Law can help

We provide tailored, clear, and fully compliant advice based on each client’s individual circumstances. Whether you need help with:

• Wills
• Lasting Powers of Attorney
• Trust planning
• Inheritance Tax planning
• Probate and estate administration

Our specialist Private Client team is here to help.

If you would like to discuss estate planning, please contact Kathryn Livesey on 01943 885 798 or email ku.oc1780443103.fcl@1780443103yesev1780443103ilk1780443103.

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