Where there’s a will there’s a way

Two in three people in the UK have no will, according to the latest findings from Barclays Wealth.

The findings show that 63% of us have yet to write a will – exactly the number of Britons who claimed not to have a will in a similar study conducted a year ago. The findings also indicate that Britons are failing to act on factors that mean more of us are likely to be liable to inheritance tax - such as rising house prices - and reviewing their wills accordingly.

Barclays Wealth has conducted the survey in line with the launch of an initiative to support the British Heart Foundation’s Help a Heart campaign throughout June. Over the course of the month, Barclays Wealth’s Estates and Trusts business will give £5 from every will written to the charity. In addition, donations will be made for will packs requested throughout June where will instructions are returned by the end of July.

The findings highlight a vast lack of awareness of the importance of wills as one of the easiest ways to protect wealth and the only way to be sure that an individual’s wishes are fulfilled and avoid misunderstandings. Barclays Wealth asked a sample of 2,000 people across the UK whether they have a will and if so, when they last reviewed it. Respondents without a will were also asked if they intend to write one and when.

Who has a will?

Just 37 per cent of people in the UK have a will. This is exactly the same as a year ago when a similar survey was conducted by Barclays Wealth. This suggests that despite having good intentions to write a will many people are failing to do so.

People aged over 55 are most likely to have a will, at 64 per cent. However, this still means that one in three (35 per cent) has no will.

Younger adults are dramatically failing to prepare for the future, as the findings show that 97 per cent of 18 to 24 year olds have not prepared a will.

64 per cent of people with children have yet to write a will – a concern given that changes introduced during the Budget mean that all assets left to children will be in future liable to a six per cent charge.

When did people last amend their wills?

The research shows that on average, people review their wills every seven years.

Despite the amendments to inheritance tax law that were announced during the Budget just three per cent of people have reviewed their wills since this took place on 21 March this year.

18 per cent of people last looked at their will more than ten years ago, while three per cent last reviewed their situation over twenty years ago. Two per cent of respondents can’t recall when they last looked at their will.

When do those without a will intend to write one?

Of the 63 per cent of people who have yet to write a will, one in three (29 per cent) have no idea when they’ll get round to preparing one. Five per cent of those questioned never intend to write a will.

On average, respondents estimated that it will take them six and a half years to write a will. With property prices steadily increasing, within the next six and half years many more are likely to have estates over the inheritance tax threshold and to be in need of inheritance tax planning.

30 per cent of respondents estimate it will take them two years to write a will.

People in the South West are more likely than anywhere else in the UK to have written a will, at 49 per cent.

People in Lancashire are the least likely to have a will prepared with just 26 per cent having written a will.

People based in the West Country have the best intentions as they plan to organise their wills within the next three years.

Those in the Borders are leaving it the longest to write their wills, with the average person intending to do this within the next nine years.

Jeremy Arnold, Head of Barclays Wealth Advisory said, “It is a concern that so few people in the UK have a will prepared. Looking at the research it is clear that despite having good intentions to write a will, many people are failing to do so. With the economic landscape changing and house prices rising, inheritance tax is becoming an issue for more and more people. It is vital that people look to act on these changes and plan their finances accordingly. We hope that by supporting the British Heart Foundation we will motivate people who have been meaning but failing to write a will for some time to act now and ensure that their wishes for the future are fulfilled.”