Thousands of charities and community-based organisations will welcome the news that His Majesty’s Courts and Tribunal Service (HMCTS) are making progress on the backlog of unprocessed probate applications.
Last month, the Justice Committee launched a new inquiry into probate (following concerns over delays in processing applications). The delays were first experienced in 2019 when new processes were introduced at HMCTS and have been further exacerbated due to rising applications because of a higher death rate resulting from the COVID-19 pandemic. Legacy Futures estimated that charities were missing out on the equivalent of £800m based on a backlog of 60,000 cases at the end of June 2023.
Service enhancements
HMCTS said that the number of cases has fallen by 9,000 since the end of August and has committed to enhance the service and forecasting information available for charities named in wills by introducing some new measures.
The new measures include providing clarity on the level of stopped applications held up in the system, which is one of the main reasons for delays, and adding a form field on digital applications identifying whether the estate includes a charitable gift. These measures will enable the identification of charitable estates in the probate system.
By their very nature, legacies aren’t always predictable, however a growing number of charities are increasingly reliant on gifts in wills to help balance budgets and deliver frontline services. Any considerable delays in receiving bequests can have a significant impact on a charity’s cashflow and service delivery. The ability to track legacy income in the future will make a significant difference to charities, helping them to more accurately budget and forecast legacy income.
There is still the need for patience as the backlog will take time to clear and the new proposals will need to be implemented. These are, however, positive improvements on the current system and very welcome news in these challenging financial times.
For further information and guidance, get in touch with our expert Charities team or call 0333 123 7171.
