Costs and Timescales
Legal Services
Legal services are provided by Arcadia Legal Limited which is regulated by the Solicitors Regulation Authority. Other entities in the group which provide services to clients (Arcadia Tax & Accounts Limited for tax and accountancy compliance services and ATCO for fiduciary services) are not regulated by the Solicitors Regulation Authority.
Probate – The Full Administration of Estates
Our charges will be calculated by reference to the time spent by our solicitors and executive staff dealing with the matter. Our hourly rates are between £185 and £310 per hour plus VAT, depending on the experience and qualifications of the person undertaking the work. Including VAT, this is between £222 per hour, and £372 per hour. The hourly rates referred to here are reviewed periodically. Our charges for the administration of a simple estate are likely to be in the region of £5000 to £6000 (£6000 – £7200 incl VAT).
The charges set out above are for estates where:
• There is a valid Will
• There is no more than one property
• There are no more than 5 bank or building society accounts
• There are no other intangible assets
• There are 1 – 4 beneficiaries
• There are no disputes between beneficiaries on division of assets
• There is no Inheritance Tax payable and the Executors do not need to submit a full account to HM Revenue and Customs (HMRC) on Form IHT400
• There are no claims made against the estate
The cost of administering a complex estate where Inheritance Tax is payable and a return on Form IHT400 is required depends on the number of assets involved and the complexity of the administration and may be £15,000 or above (£18,000 incl VAT). As an indicator, we generally find that costs equate to approximately 2% of the gross value of the assets in the estate plus VAT.
In addition there will be some or all of the following disbursements:
• HM Courts and Tribunal fees: £300 plus £1.50 per additional copy of the grant. This is not subject to VAT.
• Office Copy of Land Registry title: £7 per property (£8.40 incl VAT)
• Anti-money laundering check: £20 (£24 incl VAT)
• Bankruptcy searches: £2 per named search (£2.40 incl VAT)
• Trustee Act notices: £200 to £300 (approx. if required) (£240 – £360 incl VAT)
(posted in The London Gazette and a local newspaper to protect against claims from unknown creditors)
The total disbursements incurred are*:
£529 (£574.80 incl VAT)
For example, an estate that costs £5,000 to administer total costs would be:
Costs: £5,000
Land registry; £7
AML: £20
VAT: £1005.40
Probate fee: Does not incur vat
* Based on one copy of the grant, one property’s land registry title, one anti-money laundering search, one bankruptcy search, and one trustee act notice.
Disbursements are costs related to your matter that are payable to third parties. We handle the payments on your behalf to ensure a smoother process.
Our first bill is usually submitted once we have submitted the application for the Grant to the Probate Registry. We then bill monthly or when the work in progress reaches £500, whichever is the sooner.
If it becomes apparent that more time is required then we have estimated, we shall let you know at the earliest possible opportunity.
The estate administration does not extend to:
• The formal setting up of any trusts contained in the Will
• Advice regarding Deeds of Variation or the preparation of the Deed of Variation
• Dealing with the sale of any private company shares
• The vesting of property into the names of the beneficiaries and completing the Land Registry requirements
• Conveyancing fees in connection with the sale of any property held in the estate
If we are instructed to undertake further work such as the above, we will provide a costs quotation before proceeding.
There is usually no problem over payment of our costs since it is a charge on the assets of the estate and the personal representatives and beneficiaries are not normally called upon to make any payment from their own pockets in this respect. However, we may ask the executors for money on account of the disbursements which will be refunded once estate funds become available.
The full administration of an estate can take between 9 and 12 months depending on the complexity of the estate.
Probate – Application for Probate Only
If we are instructed to apply for probate but not deal with the ongoing full administration of an estate, our costs are reduced. We require executors or administrators to provide date of death values for all of the deceased’s assets and outstanding liabilities.
Our fees for obtaining a Grant where IHT400 is not required will be £1500 (£1800 incl VAT). Including the following disbursements**, the cost would be approximately £1827 (£2132.40 incl VAT). If completion and submission of IHT400 to HMRC is required our fees will be £2750 (£3300 incl VAT). Including the following disbursements**, the total cost would be approximately £3077 (£3632.40 incl VAT).
Our fee is limited to:
• Completion of the application for probate
• Drafting a legal statement for approval by the executors or administrators as the case may be
• Completion of HMRC’s IHT400 form together with associated schedules (if applicable)
• Making the application to the HM Courts and Tribunals Services on your behalf
• Obtaining the grant of probate or letters of administration and sending it to you
The following disbursements may be incurred:
• HM Courts and Tribunal fees: £300 plus £1.50 per additional copy of the grant. This is not subject to VAT.
• Office Copy of Land Registry title: £7 per property (£8.40 incl VAT)
• Anti-money laundering check: £20 (£24 incl VAT)
** Based on one copy of the grant, one property’s land registry title and one anti-money laundering search.
If for any reason this firm does not complete work you have instructed us to do then a charge subject to VAT will be made in respect of the work that has already been completed and you will also be billed for any expenses which we have incurred.
Subject to receipt of all of the necessary paperwork, application for probate or letters of administration can usually be completed in eight weeks.
Wills and Powers of Attorney
Indicative charges for the preparation of wills and powers of attorney are set out below. These indicative charges include not only the drafting of the relevant documents, but also all advice and guidance throughout.
- Will with no trusts or other complex provisions for one person – £450 (£ 540 incl VAT)
- Will with no trusts or other complex provisions for two people – £700 (£840 incl VAT)
- Will with a life interest trust or other complex provisions for one person – £950 (£1140 incl VAT)
- Will with a life interest trust or other complex provisions for two people – £1500 (£1800 incl VAT)
- Lasting power of attorney for either property and finance or health and welfare for one person – £500 (£682 incl £100 VAT & £82 OPG registration fee)
- Lasting power of attorney for both property and finance, and health and welfare for one person – £800 (£1124 incl £160 VAT & £164 OPG registration fees)
- Lasting power of attorney for either property and finance or health and welfare for two people – £800 (£1124 incl £160 VAT & £164 OPG registration fees)
- Lasting power of attorney for both property and finance and health and welfare for two people – £1400 (£2008 incl £280 VAT & £328 OPG registration fees)
The Office of the Public Guardian charge a fee of £82 (which is not subject to VAT) to register a lasting power of attorney. In some cases, their fee can be reduced and that is something we can advise on.
Accountancy Services
Accountancy services are provided by Arcadia Tax & Accounts Limited. Accountancy services provided by Arcadia Tax & Accounts Limited are not regulated by the Solicitors Regulation Authority. Similarly, fiduciary services provided by ATCO are not regulated by the Solicitors Regulation Authority. Legal services provided by Arcadia Legal Limited are regulated by the Solicitors Regulation Authority.
Our fees are calculated by reference to the amount of work required, the skills and experience of the staff deployed on a particular assignment and individual client circumstances. Circumstances and the amount of work required can vary widely from one client to another and as such, the indicative fees on this page are a guide, and not a fixed price. We review individual circumstances for all potential new clients and provide a tailored quote wherever possible.
Some tasks cannot be performed on that basis and instead are charged at our hourly rates which range between which range between £175 and £295 per hour plus VAT. Including VAT, this is between £210 per hour, and £354 per hour. If hourly charging is appropriate for your work, we will provide an estimate and, if required, an upper threshold at which point forward costs can be reassessed.
As a guide, median fees for the main services offered are as follows:
- SA100 personal tax return: £780 (£650 plus £130 VAT)
- R40 personal tax reclaim: £300 (£250 plus £50 VAT)
- SA900 trust/ Estate tax return: £900 (£750 plus £150 VAT)
- IHT100 with no tax: £900 (£750 plus £150 VAT)
- IHT100 with tax: £1200 (£1000 plus £200 VAT)
- Annual trust accounts: £2100 (£1750 plus £350 VAT)
- Trust registration: £600 (£500 plus £100 VAT)
Fiduciary Services
Fiduciary services are provided by Arcadia Trust Corporation Limited. Fiduciary services provided by Arcadia Trust Corporation Limited are not regulated by the Solicitors Regulation Authority. Similarly, accountancy services provided by Arcadia Tax & Accounts are not regulated by the Solicitors Regulation Authority. Legal services provided by Arcadia Legal Limited are regulated by the Solicitors Regulation Authority.
ATCO charges a fee for acting as fiduciary. Those fees are commensurate with the assets, liabilities, risk, complexity and responsibility which relates to a specific entity. Minimum fees are as set out below. A full quotation can be provided on request.
Trustee Services
ATCO charges a responsibility fee of £1750 (£2100 incl VAT) per annum per annum for acting as trustee of a trust or settlement. ATCO’s role is a fiduciary role only; it appoints Arcadia Tax & Accounts Limited to administer the trusts and settlements of which it is trustee.
Executor, Administrator and Attorney Administrator Services
ATCO charges a minimum responsibility fee of £2000 (£2400 incl VAT) for acting as executor, administrator or attorney administrator. ATCO’s role is a fiduciary role only; it does not carry out the administration of an estate – instead, that is carried out by Arcadia Legal Limited. Click here to see indicative charges for the administration of an estate. Depending upon the circumstances of a particular estate, the company may in addition in unusual circumstances charge a complexity fee. If such a complexity fee were to be appropriate, a bespoke quote would be provided before commencement.