Partial Intestacy UK: What Happens to Missed Assets

What this document is

Partial intestacy is the term used when a valid will exists but fails to dispose of the whole estate. The portions that the will handles are distributed to the named beneficiaries in the usual way. Anything left over, whether a single bank account or a sizeable chunk of property, is treated as if the deceased had died without a will in respect of those assets.

The rules of intestacy in the Administration of Estates Act 1925, as updated by the Inheritance and Trustees' Powers Act 2014, then step in to decide who inherits the remainder. This often comes as a surprise to families, because the outcome can be quite different from what the deceased probably intended.

A surviving spouse or civil partner takes priority under the statutory order, followed by children and more distant relatives. If there is no surviving family member within the categories set out in the legislation, the undisposed-of property can ultimately pass to the Crown.

Understanding the split between the testate and intestate portions of the estate is the first step in administering it correctly.

How to use this document

1. Identify the full estate. Build a complete picture of everything the deceased owned at the date of death, including bank accounts, investments, property, personal possessions, digital assets, pensions, and any foreign holdings. Without a thorough inventory, it is impossible to tell which items the will actually deals with and which have been left unaccounted for.
2. Read the will carefully and spot the gaps. Work through the will clause by clause and match each asset against the gifts and residuary provisions. A partial intestacy often appears where a residuary gift fails, a beneficiary has predeceased, or a specific item was sold and replaced with something the will does not mention. Flag anything that has no clear destination under the document.
3. Apply the intestacy rules to the uncovered portion. For the assets that fall outside the will, look to the statutory order of entitlement. Spouses and civil partners come first, followed by children and issue, then parents, siblings, and more distant relatives. The split between a surviving spouse and children depends on the value of the estate and the thresholds set in law, which are updated periodically.
4. Obtain the grant and settle liabilities. The executor named in the will normally applies for a grant of probate covering the whole estate, even though part of it will be distributed under intestacy. Debts, tax, and administration expenses must be paid before any distribution, and inheritance tax calculations need to reflect both the testate and intestate portions.
5. Distribute and keep clear records. Transfer the testate assets to the named beneficiaries and the intestate portion to the statutory heirs. Keep a written record showing how each asset was classified and why, along with receipts and signed acknowledgements from beneficiaries. This protects the executor if any part of the distribution is later questioned.

Common questions