A trust is a private legal arrangement where the ownership of someone’s assets (which may include property, shares or cash) is transferred to trustees to look after and use to the benefit of a third person or group of people. The trustees then become the legal owner of the assets but the trustees must at all times put the interest of the beneficiaries above their own.

Trusts can take effect during the lifetime of the settlor (the person setting up the trust) or shortly after the death of the settlor (known as the “Will Trust”). There are a wide range of different types of trust, depending on how the benefits of the trust funds are to be distributed. They can be an effective way to provide for your family both now or in the future whilst ensuring that maximum use is made of the tax planning available. They are particularly useful when planning how assets should pass from one generation to another especially when family structures are complicated by divorces and second marriages.

We can advise in individual circumstances and also deal with the administration of the trust which includes preparing annual income and capital accounts, submitting tax returns and advising the trustees on any issues that may arise in connection with the trust.

Trusts can also be created for the benefit of mentally or physically handicapped beneficiaries providing them with a secure future. Together with our Financial Services team, we are also able to offer clients a complete wealth and estate management service.

Used correctly, trusts can safeguard the family’s inheritance and protect your estate for future generations particularly in relation to residential or nursing home fees.