On the 2nd of July 2025 the Supreme Court set down a new legal precedent on the stance of matrimonial and non-matrimonial assets in the case of Standish v Standish [2025] UKSC 26.
The case concerns a transfer of around £77 million in 2017, from Mr Standish to Mrs Standish, for the purpose of tax and estate planning. Mrs Standish argued that the transfer of assets to her, meant that the £77 million was a matrimonial asset. However, Mr Standish argued that the £77 million was earned by him before the marriage and therefore was a non-matrimonial asset.
In this case, it has been made clear that a non-matrimonial asset is money or property of a spouse acquired before marriage, or acquired by inheritance or gifts from an external person.
It has further been clarified by the Supreme Court that non-matrimonial property should not be subject to the “sharing principle”. However, non-matrimonial property can be considered in cases where needs are not met or for compensation.
Matrimonial vs Non-Matrimonial assets
The stance on matrimonial assets and non-matrimonial assets has been a widely debated area with some arguing that matrimonial assets depend on legal ownership and others arguing that a more detailed analysis needs to take place to determine whether an asset is matrimonial.
Standish clarifies this point/ When looking at whether an asset is matrimonial or not, it is important to undertake a more detailed analysis of the assets rather than looking at transfers and legal title alone. The courts will now be concerned with ascertaining the source of the asset and how the asset was treated. If the asset was acquired during the marriage and treated as shared property, then it would most likely be deemed as a matrimonial asset.
A new term – ‘Matrimonialisation’
The Supreme Court outlined a concept called ‘matrimonialisation’ which is where non-matrimonial property can, over time, become matrimonial property. When determining if an asset is matrimonial or not, the courts will be concerned with whether the property had ‘matrimonialised’ during the course of the marriage.
In short, ‘matrimonialisation’ will take place when non-matrimonial property is integrated into the marital relationship and treated as a shared asset.
The effect of Standish
This new precedent is very much welcomed by family law practitioners as the stance on non-matrimonial assets is now clearer. These new guidelines help those going through divorce as they can be more certain about their financial position and determine which assets would be deemed matrimonial and which would not.
The case also highlights the discretion and tailored approach that family judges’ have, in taking into account different circumstances of a case, to ensure fairness is reached.
If you are going through a divorce and would like to discuss your financial position, please contact our Family Team by emailing info@barrettandco.co.uk or calling us on 0118 958 9711.
