Ways to manage your finances during divorce or separation
Worrying about money is one of the most common concerns during divorce or separation in the UK. Changes to household income, housing arrangements, and legal costs can all create uncertainty especially while matters such as financial settlements, child maintenance, or the family home are unresolved.
While it’s always important to seek expert advice, there are practical steps you can consider to help manage your finances during this transitional period.
Practical ways to reduce financial pressure during divorce
Below are some non-advice, practical ideas that may help you regain a sense of control while going through separation or divorce.
1. Speak to your mortgage provider
If you have a mortgage, contact your lender as early as possible. Some may offer short-term options such as:
a mortgage payment holiday,
or a temporary switch to interest-only payments.
This can help ease pressure while longer-term decisions are made around the matrimonial home after divorce.
2. Check your council tax entitlement
If you are living alone following separation, you may qualify for a 25% single person council tax discount. Contact your local council to check eligibility.
3. Review bank statements and subscriptions
Go through your bank statements carefully and identify:
unused or forgotten subscriptions,
annual payments that auto-renew,
non-essential spending that could be paused temporarily.
These small savings can add up quickly.
4. Compare household bills and contracts
Use comparison websites to check whether you’re getting the best deal on:
car, home or contents insurance,
mobile phone, broadband or TV packages.
Make a note of renewal dates so you can switch if needed.
5. Reduce utility costs where possible
Being more mindful with energy and water use can help reduce monthly bills. Simple steps like:
switching off unused lights,
avoiding wasted water,
using draught excluders or basic insulation,
can make a difference over time.
6. Review day-to-day spending
During separation, you may need to temporarily adjust spending on:
food and household shopping,
clothing,
socialising, entertainment, or holidays.
Swapping premium brands for more affordable alternatives can help ease short-term pressure.
7. Check state benefits and entitlements
You may be entitled to support such as:
Child Benefit
Universal Credit
Free online benefits calculators can help you check what you may be eligible for during or after separation.
8. Consider short-term credit carefully
In some situations, an interest-free credit card may help cover emergency costs particularly if you expect funds in the near future (for example, from a financial settlement or property sale).
This should only be considered if repayments are manageable.
9. Declutter and sell unused items
Selling items that belong to you such as clothes, shoes, toys or household goods on platforms like Vinted, eBay, or local Facebook selling groups can provide small but helpful income.
(Only sell items that are yours or where you have permission.)
10. Explore ways to increase income
If possible, you may want to consider:
increasing working hours,
returning to work,
or exploring part-time or flexible roles.
Even a small increase in income can help during this period.
Financial stress and divorce
Financial uncertainty often overlaps with emotional strain during divorce especially where there are concerns about spousal maintenance, child maintenance, financial abuse, or hiding assets.
Taking practical steps, understanding your options, and seeking appropriate support can help reduce anxiety and create breathing space while longer-term decisions are made.
Important note
This article does not constitute financial advice. These are general ideas only. Always seek advice from a qualified professional based on your individual circumstances.
If you are navigating divorce or separation and need support understanding financial communication, next steps, or available options, help is available.
Contact Kirsten today to take your first steps .