Cohabitation Agreements UK: Legal Status, TOLATA and Scotland

A cohabitation agreement is a private contract between an unmarried couple setting out how they will handle property, money and bills together and on separation. In England and Wales it is enforced under ordinary contract law, not a marriage-style statute. Scotland has its own statutory scheme for cohabitants, with much tighter deadlines than divorce. This guide covers England and Wales and Scotland; Northern Ireland has its own rules and is not covered here.

Why a cohabitation agreement matters in England and Wales

Unmarried couples in England and Wales get no automatic financial safety net when they separate. There is no equivalent of the discretionary, needs-based fairness that a divorce court applies under the Matrimonial Causes Act. This is the starting point behind the phrase "there's no such thing as common law marriage" (see our guide to the common law marriage myth for the full position).

Instead, if an unmarried couple splits up and cannot agree who owns what, any dispute over the home or other jointly held property falls to ordinary trust law. Section 14 of the Trusts of Land and Appointment of Trustees Act 1996 lets a trustee of land, or anyone with an interest in property held on trust, apply to the court for a declaration of "the nature or extent of a person's interest in property subject to the trust." That is a property-law exercise built around legal and beneficial ownership, contributions and intentions, not the broad fairness the divorce courts use.

A cohabitation agreement's core function is to head off exactly that kind of dispute. By recording, in writing and while the relationship is stable, how the couple intend to hold their property and split contributions, the agreement gives a court (or the couple themselves) a clear starting point instead of having to reconstruct informal intentions years later from bank statements and memory. See also our guide to cohabitation rights for the wider legal position of unmarried couples living together.

Is a cohabitation agreement legally binding?

In England and Wales, a cohabitation agreement is treated as an ordinary contract, so it needs the same ingredients as any other binding contract: an offer and acceptance of terms, consideration passing between the parties, and a genuine intention to create legal relations rather than a purely informal understanding.

Financial and property terms, such as who owns what share of a home, how a deposit is treated, or how outgoings are split, are the kind of terms a court can enforce as a contract. Terms that instead try to regulate the personal or intimate side of the relationship sit on much shakier ground. Courts have treated attempts to contract around the private, personal aspects of a relationship as unenforceable as a matter of public policy. A well-drafted agreement stays focused on money and property, not on governing the relationship itself.

Nothing in the current law requires a cohabitation agreement to take any particular legal form, such as a deed, for its financial terms to be capable of enforcement as a contract. Good practice, covered below, still matters a great deal to whether an agreement holds up if it is ever challenged.

A pending reform: the "Fairer End to Relationships" consultation

In June 2026 the Ministry of Justice launched a consultation called "A Fairer End to Relationships," proposing a new statutory framework for cohabiting couples in England and Wales. As of gov.uk's own status page, this is now a closed consultation (last updated 23 June 2026), meaning the consultation period has ended, but the government has not published a response or introduced legislation as of August 2026. It remains a proposal that may change, stall, or be dropped entirely, not current law.

The consultation document proposes that couples would generally need to have lived together for a minimum of three years before qualifying for the new protections, with an exception where the couple have a child together or a child is otherwise treated as "a child of the family" (foster children placed by a local authority are excluded from that exception). A minimum applicant age of 18 is also proposed, though the document flags this specific point as still open. The government describes the three-year figure as sitting within the two-to-five-year range the Law Commission had previously recommended.

The proposed framework would apply automatically to eligible couples, with an option to opt out, and the government has been explicit that it intends the scheme to be "narrower than that available on divorce," so as not to blur the legal distinction between marriage and cohabitation. Alongside the separation framework, the consultation also covers giving bereaved cohabiting partners automatic inheritance rights on intestacy, where they currently have none, and making pre-nuptial and post-nuptial agreements legally binding for married couples as a related strand. None of this is enacted. Until it is, the contract-law and TOLATA position described above remains the actual law in England and Wales.

Scotland: a statutory scheme, but narrower than divorce

Scotland takes a different approach. The Family Law (Scotland) Act 2006 gives cohabitants statutory rights that do not exist in England and Wales, but the scheme is deliberately more limited than the financial provision available on divorce, and it comes with much shorter deadlines.

Section 25 defines a "cohabitant" as either member of a couple living together as if they were husband and wife, or as if they were civil partners. Scotland sets no fixed minimum duration for this. Instead, section 25(2) tells the court to look at the length of time the couple lived together, the nature of the relationship, and the nature and extent of their financial arrangements. That is a genuine point of contrast with jurisdictions that use a bright-line duration test, including the three-year threshold proposed for England and Wales above.

Section 28 covers financial provision when cohabitation ends through separation rather than death. The court can order a capital sum, or an order dealing with the economic burden of childcare after separation, based on whether one partner gained an economic advantage from the other's contributions, including non-financial contributions such as childcare or housekeeping, that has not been balanced out.

This is a narrower, contribution-based accounting exercise, not the broader needs-based and equal-sharing approach that applies on divorce under the Family Law (Scotland) Act 1985. Critically, section 28(8) sets a strict cut-off: any application must be made no later than one year after the date the couple stopped living together. Miss that window and the section 28 remedy is gone.

Section 29 covers the position when a cohabitant dies without a will. A surviving cohabitant of someone who died domiciled in Scotland, intestate, can apply for a capital sum or a transfer of property from the estate, but section 29(4) caps this at no more than the survivor would have received had they been the deceased's spouse or civil partner. The deadline here is even tighter: section 29(6) requires the application to be made within six months of the date of death.

Because both routes are discretionary, court-applied schemes with short limitation windows and capped outcomes, a written cohabitation agreement remains useful in Scotland even though the statutory scheme exists. It can help document the couple's financial arrangements and intentions, which is relevant to how a court applies sections 25 and 28. Whether Scottish cohabitants can validly contract out of, or vary, their sections 28 and 29 rights by private agreement has not been settled here, so this guide does not claim either way. In practice, an agreement and the statutory claims sit alongside each other rather than one simply replacing the other.

What to put in a cohabitation agreement

There is no single required format, and nothing here should be read as a template to copy. In practice, cohabitation agreements commonly address:

• How the property is owned, and in what shares, including how any change in the shares is meant to work over time.
• How a deposit or other lump-sum contribution to buying the home is treated if the relationship ends.
• How day-to-day bills, the mortgage or rent, and other shared costs are split.
• What happens to the home and its contents if the couple separate, including whether either partner has a right to buy out the other's share.
• How debts taken on during the relationship, whether joint or individual, are treated.

Because a cohabitation agreement is enforced as an ordinary contract, the usual good practice for any significant contract applies: both partners should understand and genuinely agree to the terms, ideally after taking independent legal advice, and the agreement works best when it is reviewed again after a significant change in circumstances, such as buying a home together, having a child, or a change in income. None of this is a formal legal requirement, but an agreement signed without independent advice, or under pressure, is more vulnerable to challenge later.

For the related question of what happens if a cohabiting partner dies, see our guides to making a will and intestacy rules: cohabitants in England and Wales currently have no automatic entitlement under the intestacy rules, which is one of the strongest reasons to put a will in place alongside any cohabitation agreement. Couples weighing a cohabitation agreement against marriage may also find our guide to prenuptial agreements useful for comparison.

This guide covers England and Wales and Scotland as of August 2026. It explains the general legal framework and is not a substitute for advice on an individual agreement or dispute. Northern Ireland has its own separate rules on cohabitation, which are not covered here. Anyone drafting or relying on a cohabitation agreement, or facing a dispute over shared property, should get independent legal advice from a solicitor.