Chris Lamb


Will Trusts

Trusts have been used by families for centuries to protect wealth. A trust is a formal transfer of assets (whether they be property, shares or just cash) to a small group of people known as ‘Trustees’ with instructions that they hold the assets for the benefit of others. If the trust is to be made in your lifetime to take immediate effect, then it is usually evidenced by a trust deed and often referred to as a ‘settlement’. If it is to be created on or shortly after your death then the trust rules must be set out in your Will.

Whether by lifetime settlement or by Will, the trust instrument will state who is responsible for looking after the gifted assets (the Trustees), who is to benefit (the Beneficiaries) and any conditions or rules that the Trustees or Beneficiaries must adhere to. How long a trust lasts is entirely as you think appropriate but the trust period must be stated in the trust document. It might be for just a few years, perhaps during a person’s widowhood or until a child attains a certain age or marries. Trusts can last much longer however – up to 125 years. It is usually advisable to give the Trustees the power to terminate the trust at their discretion.

Home Protection Plan

The Home Protection Plan is a strategy designed for homeowners, whether single or couples to put the home beyond the reach of any potential third party claims that may arise. The strategy involves the transfer of the home to a trust. Once the trust is created, he, she or they can continue to enjoy the home in the same way as before. They can continue to live in the home for the rest of their life or lives or for as long as is wished and this is guaranteed.

Property Protection Trust

Protects the deceased’s share of the family home for the children from the effects of survivor remarrying, care costs and is especially effective where the testator(s) have children from previous relationships and wish them to benefit.

Discretionary Trust

Can be used to ring fence assets. Beneficiaries can be spouse and children. This type of trust can be used effectively where there are concerns regarding children, such as financial, drinking, drug or gambling related problems.

Disabled Discretionary Trust

Can be tax efficient as well as providing for the needs of the disabled beneficiary. For beneficiaries who are unable to manage their own affairs by way of mental or physical disability.

Business Property Relief Trust

Referred to as a BPR trust where business assets are eligible for business property relief. Gives spouse right to income and can utilise the tax benefits available under the current rules of this trust.

Immediate Post Death Interest Trust

Effective way for the client to preserve their assets but provide for spouse/partner. Life interest trust or an Immediate Post Death Interest trust (IPDI) gives the life tenant income until death. It can also include express provisions for trustees to advance capital and income. On death of remaining spouse/partner, the assets pass to named beneficiaries.

Flexible Life Interest Trust

Extremely flexible giving trustees power to advance income and capital at their discretion. Ability to use all the testators’ assets, utilise both transferable nil rate bands and can provide the trustees with the ability to tax plan for the future whilst providing to the surviving spouse and children.

Right to Occupy Trust

It is not uncommon to have a member of your family living at your home and if you die they may need your protection to allow them to remain in the property. This can be for a specified number of years, for life or until the individual no longer requires to remain in the property. This protection can only be given by this Trust.