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Does co-habiting impact the financial settlement?

Does co-habiting impact the financial settlement?

The financial resources of the new partner are relevant, but only indirectly. It is not possible to demand that the new partner has to pay income or capital to the former spouse.

The court can only make orders against a husband or wife of the marriage in question. But if financial resources are being shared, then it does have a knock-on effect on how much can be afforded.

For example, if a husband is sharing the household bills with his new partner then clearly he can afford to pay more by way of maintenance to his wife or to their children.

Similarly, if a wife has started to live with her new partner who already has a home, then arguably she does not need as much as she would otherwise to buy a new home. Dividing the assets may be simpler or more difficult depending on the case. But the person cohabiting is likely to do less well.

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