Understanding Probate Fees

When someone passes away, it is essential that their estate is administered correctly which involves, amongst other things, applying for a Grant of Representations (known as a Grant of Probate where there is a Will or a Grant of Letters of Administration where there is no Will) and then distributing their estate in accordance with their Will (if one exists) or the rules of intestacy (if not). 

The administration process does incur a number of costs, ranging from set fees charged by the UK Government to variable legal costs depending on the size and complexity of the estate. In this article, we’ll break down how these fees are calculated and how much probate costs, for a smooth estate administration process. 

How Are Probate Registry Fees Calculated?

Applying for a Grant of Representation involves an application to the Probate Registry for which a fee is payable. Probate Registry fees are determined based on the value of the deceased’s estate, splitting into two thresholds; estates valued under £5,000 and estates valued over £5,000.

• For estates under £5,000: No probate application fee is charged.
• For estates over £5,000: A flat application fee of £300 is applied, regardless of estate size.

In May 2024, the flat fee for estates over £5,000 rose by 10%, taking it to the £300 fee that we recognise today; before this price increase, executors would have to pay £273. 

If probate has already been granted, you will have to pay £20 to make a second application, regardless of the total value of the estate - this is referred to as “double probate”. This typically happens if an executor named in the Will originally stepped back from their duty, known as “power reserved”, but later decides to take up their role.

Additional copies of the Grant of Representation are charged at £1.50 per copy.

How Much Does Probate Cost?

The total cost of probate varies depending on several other factors, as well as the Probate Registry fee outlined previously. It is important to keep in mind that most solicitor fees and related legal fees will incur VAT on top of the outlined costs, but Government fees will typically not 

Although not all are mandatory, these factors include:

• Legal Fees: In many cases, solicitors charge a percentage fee of between 2% to 5% of the estate value. Similarly, legal fees can be fixed, but in both cases, this can result in disproportionate costs based on the actual legal work completed. At Culver Law, our probate legal fees are charged on a time-spent basis, so each client only pays for the exact service they receive. Further, many firms charge in 6 minute intervals. This means the time spent working on your matter is always rounded up to the nearest 6 min interval and charged at that rate. At Culver Law we charge in 1 minute intervals - a much fairer approach.
• Land Registry Search: This confirms ownership, any mortgages, or restrictions, ensuring accurate estate valuation and a smooth transfer to beneficiaries or sale as part of probate. Land registry searches usually cost £3. 
• Unclaimed Asset Searches: This search identifies any overlooked accounts or investments belonging to the deceased, ensuring all assets are accounted for. The price of this search varies per legal firm but often ranges between £165 to £195 + VAT.
• Property Valuation Fees: This is often priced between £100 to £1,000, depending on estate size and asset types.
• Inheritance Tax (IHT): IHT is calculated on the total value of an estate subject to various allowances which include the “Nil Rate Band” of £325,000 and, if you are passing your family home to direct descendants, then the “Residence Nil-Rate Band” applies up to £175,00 As of the November ‘24 budget, these rates remain frozen at £325,000 until 2030. Other exemptions may apply to an estate but for estates over the IHT threshold, IHT is payable at 40%. Depending on the value of an estate and whether IHT is payable, an Inheritance Tax Account (known as form IHT400) will need to be completed and submitted to HMRC. As you might expect, IHT is complex so the above is intended just as a high-level guide. Please contact us for a more in-depth and personalised discussion for your specific circumstances.
• Newspaper Notices: While not mandatory, publishing in both the London Gazette and a local newspaper is a recommended step to notify potential creditors of the deceased's estate, adding an extra layer of protection for executors against future claims. This cost is variable per newspaper; typically priced around £240 + VAT, with the Gazette notice costing £87.30 + VAT (per notice event). 
• Bankruptcy Search: This search checks if any beneficiaries are bankrupt, allowing executors to ensure that any inheritance owed to creditors is correctly redirected. A bankruptcy search typically costs £2 per beneficiary. 

Are There Any Exemptions or Reductions to Probate Fees?

The only scenario where probate fees do not apply is when an estate is valued below the aforementioned £5,000 threshold. You can apply for help to pay probate fees and other court fees if you are in receipt of certain benefits, or have a low annual income; this can be applied for online, or through form EX160.

How Do I Pay Probate Fees?

Paying probate fees follows a simple process, which usually looks like this:

1. Submit the Probate Application: You can apply for probate online or by post using the form PA1P (with a Will) or PA1A (without a Will).
2. Payment Methods: Probate can be paid for online with a credit/debit card during the application process. Alternatively, a cheque payable to “HM Courts and Tribunals Service” can be posted with your application. If we are acting on your behalf, we usually process this via an account we have with the Court.

What Tasks Do Solicitors Perform Under Probate Legal Fees?

Solicitors perform several tasks to assist you during the probate process, ensuring compliance and accuracy through each stage. To help you understand what you get for the money you pay, here are some of the main tasks performed by legal experts: 

• Estate Valuation: Assessing assets and liabilities, including property, bank accounts, and debts.
• Inheritance Tax Calculation and Payment: Calculating any inheritance tax owed and ensuring it’s paid on time.
• Applying for the Grant of Representation: Completing and submitting probate applications and required documentation.
• Settling Debts and Liabilities: Contacting creditors and paying outstanding debts.
• Asset Distribution: Distributing the estate to beneficiaries as per the will or intestacy rules.
• Handling Disputes: Managing disputes or claims against the estate, including contested Wills.

Are There Any Deadlines?

There is no specific deadline for paying probate fees since you only pay when you apply. The probate process cannot proceed until the fee is paid within the application. However, if IHT is due, it must be paid to HMRC (or at least, an agreed first instalment) before probate can be granted. To avoid interest charges, this must be paid within 6 months of the date of the person’s death. 

How Long Will This Take?

On average, estates are usually settled within 9 to 12 months, regardless of whether a Will is present or not. Typically, obtaining the Grant of Representation takes around 16 to 20 weeks. After the probate has been issued, assets can be distributed to the beneficiaries as per the Will or rules of intestacy. 

Our Solicitors Can Assist With Your Probate Application

The probate process is a complex legal terrain that can contain costly hold-ups and disputes, if not handled correctly. Fortunately, our solicitors at Culver Law are experienced in probate law and are on hand to guide you through each stage of the process. 

Our commitment to accessibility and equality was recognised at this year’s British Wills and Probate Awards, so by working with us, you are working with a team that cares about you and your family’s needs. Please contact us today to discuss your needs, and how we can help. 

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