New research has laid bare the financial strain of marital breakdowns, revealing that a significant number of separating couples are forced to continue living together due to the high costs of moving out. This comes as the average divorce in England and Wales now takes over a year to finalise.
The Hidden Reality of Modern Separations
A recent survey has found that 36 per cent of people going through a separation in England and Wales anticipate living with their former partner while untangling their shared finances. For one in three, the primary reason is stark: it is simply too expensive to leave.
Official Family Court statistics for July to September 2025 underscore the lengthy process, showing divorces take an average of 67 weeks to reach a final order. This timeline means many individuals could be sharing a home with their ex for more than a year.
Impact on Work and Wellbeing
The Annual Divorce Survey 2026, conducted by the online advice platform SeparateSpace, highlights wider consequences. It found that 39 per cent of people felt the cost of legal advice stopped them from seeking help.
The stress permeates professional life, with 33 per cent reporting a negative impact on their mental health at work, citing increased anxiety, depression, or stress. More than one in five experienced reduced performance or took more time off, yet fewer than a quarter felt their employer offered adequate support.
Notably, the strain pushes many to reconsider their careers: one in four thought about cutting their hours or quitting their job, and one in ten ultimately left their role.
Expert Advice for Navigating Cohabitation
'Living together after deciding to separate can be extremely challenging, particularly for parents who are trying to manage their feelings while maintaining stability for their children,' says SeparateSpace relationship expert and therapist Joanna Harrison.
'Agreeing some basic ground rules, even around everyday issues like food shopping, time alone at home and ensuring you have weekly check-ins, can make a significant difference. When couples are unable to manage these conversations alone, involving a mediator or therapist can be a valuable investment.'
The 12-Point Financial Fairness Checklist
Financial planner Karen Ritchie, who describes separation as a 'juggling act', has outlined a crucial 12-point checklist for couples to ensure a financially fair divorce.
1. Council Tax: If you become the sole adult in the household, contact your council to check eligibility for a 25% single person's discount. This cannot be backdated.
2. Child Benefit: Reassess your eligibility if your spouse's earnings previously disqualified you from claiming.
3. Separate Your Banking: Open current and savings accounts in your own name promptly to ease verification checks.
4. Check Your Credit Report: Obtain an up-to-date report to ensure all data is correct and there are no hidden surprises.
5. Get Up to Speed on Finances: If your spouse managed the money, now is the time to fully understand all assets (property, investments, pensions) and liabilities (mortgage, loans).
6. Plan Where You Will Live: Consider new areas, costs, and mortgage affordability. A mortgage adviser can provide crucial guidance.
7. Do Not Ignore Pensions: Often the largest asset, pensions are vital for retirement. Understand the difference between Defined Contribution and Defined Benefit schemes.
8. Private Medical Insurance: Cover under a spouse's policy usually ends at divorce. Contact the provider for a continuation quote, as a new policy may not cover pre-existing conditions.
9. State Pension Top-Up: Check your National Insurance record for gaps. Buying additional years can significantly boost your retirement income.
10. Do Not Agree Blindly: Test what a proposed settlement means for your daily living costs, working years, and future needs. A financial planner specialising in divorce can help.
11. Review Life Insurance: Assess existing policies. If you will receive maintenance payments, consider insuring your ex-spouse's life to cover them.
12. Update Death Benefit Nominations: Review nominations for death-in-service benefits and pensions to ensure they reflect your current wishes, not those of your former partner.
This comprehensive checklist provides a roadmap for individuals facing the dual challenge of emotional separation and financial survival, a reality for an increasing number of people across England and Wales.
