How Could the Government’s 2027 Cohabitation Law Consultation Affect Unmarried Couples?

Jack Daly

In June 2026, the Government launched its consultation, A Fairer End to Relationships, proposing significant reforms to the law governing relationship breakdown. One of the consultation’s key areas of focus is whether greater legal protection should be available to cohabiting couples, particularly those who own property together but are not married or in a civil partnership.

The proposals come at a time when more than 3.5 million couples in England and Wales are living together without marrying. Despite the growing number of cohabiting relationships, many people remain unaware that unmarried couples do not enjoy the same legal rights as married couples when a relationship ends. This can lead to complex and costly disputes over property ownership, financial contributions and beneficial interests in the family home.

The Government is now considering whether qualifying cohabitants should have access to new legal remedies following separation, particularly where one party has experienced financial disadvantage or where children are involved. Whilst the proposals stop short of granting cohabiting couples the same rights as divorcing spouses, they may represent a significant shift in an area of law that has remained largely unchanged for many years.

This article examines the current legal position for unmarried property owners, explains how TOLATA claims are used to resolve cohabitation disputes, and explores what the proposed reforms could mean for couples who own property together in England and Wales.

What Rights Do Unmarried Couples Currently Have When They Separate?

Many people believe that living together for a long period creates rights similar to those enjoyed by married couples. However, the concept of a “common law marriage” does not exist in England and Wales.

Where unmarried couples separate, disputes often arise about ownership of the family home. Those disputes are commonly resolved under the Trusts of Land and Appointment of Trustees Act 1996 (TOLATA), which focuses on property rights rather than wider considerations of fairness or financial need.

This can create difficulties where one party has contributed significantly to mortgage payments, renovations, household expenses or childcare, but those contributions are not reflected in the legal ownership of the property. Establishing a beneficial interest can require complex and costly litigation.

Typical TOLATA disputes involve questions such as:

• Who contributed towards the purchase of the property;
• Whether there was a common intention to share ownership;
• The extent of each party’s beneficial interest; and
• Whether ownership differs from the position shown on the legal title.

Unlike divorce proceedings, the court cannot generally redistribute assets simply because it considers that outcome fair.

How Are Property Disputes Between Unmarried Couples Resolved Under TOLATA?

Where unmarried couples separate, disputes concerning property ownership are usually determined by legal principles relating to trusts and beneficial interests. Under TOLATA, the court’s role is to establish the parties’ ownership rights rather than assess what outcome would be fair based on their circumstances.

As a result, an individual who has made substantial financial or non-financial contributions during the relationship may still face significant challenges when seeking to establish an interest in a property. This frequently gives rise to disputes involving evidence of contributions, intentions and arrangements made during the relationship.

What Changes to Cohabitation Law Is the Government Proposing?

The Government is considering the introduction of a statutory framework for “qualifying cohabitants” following separation. Importantly, the consultation makes clear that any new regime would be narrower than the financial remedies available on divorce and would not introduce an automatic equal division of assets.

Instead, the proposals are aimed at addressing financial hardship and protecting economically vulnerable partners. The Government is seeking views on whether eligible cohabitants should be able to make claims based on financial need, particularly where there are children or where one party has suffered economic disadvantage during the relationship.

What Could the Proposed Reforms Mean for Unmarried Property Owners?

For unmarried couples who own property together, the reforms could represent an important change.

Whilst disputes over legal and beneficial ownership are likely to remain matters governed by TOLATA, separating cohabitants may gain access to additional remedies that are not currently available. This could reduce situations where a party is left without meaningful financial protection despite having made significant contributions to the relationship or family life.

Although the consultation has not yet given its findings, it may signal a move towards greater protection for unmarried couples whilst preserving the distinction between cohabitation and marriage.

How Can Bermans Help With Cohabitation and Property Ownership Disputes?

Disputes concerning property ownership following the breakdown of an unmarried relationship can be legally complex, emotionally challenging and financially significant.

Whether you are involved in a dispute over beneficial ownership, seeking to establish an interest in a property, or defending a TOLATA claim, obtaining specialist legal advice at an early stage can help protect your position.

Bermans’ Litigation team advises clients on TOLATA claims, beneficial interest disputes and a wide range of property-related litigation matters. To discuss your circumstances or obtain expert advice, please contact a member of our team today.