Legal fees in the UK for winding up an Estate and handling probate.

[EdLaguna]

What is the normal legal fee percentage for winding up an Estate and handling probate in the UK? When the solicitor quotes a fee, is it normal for VAT to be included or excluded?

[Kathyan]

VAT is included, but the bill should be itemised to show how much.

[dzug]

A percentage isn't universal but could be up to 5%.

An hourly rate is common - £150 an hour upwards.

If you are permitted (ie the will doesn't appoint the solicitor) and have the capability then you can save a lot DIY.

[Kathyan]

Just as a bit of a guide. My mother in laws solicitor charged £4k and the estate was around £100k.

[EdLaguna]

Thank you for all your quick answers and for your experience Kathyan. I have recently been told that the fee is negotiable and could range from 1.5% to 2.5% fo the Estte value, and that in this quoted price, VAT is included. Any validity to this?
The solicitor was appointed a co-executor of the Estate.

[themas]

Any quote should always say specifically whether VAT is included or excluded. Make sure this is in writing.

In my view the practice some solicitors still adopt of charging these fees as a % of the estate value is potentially very unfair & I would never be happy to accept it. This is because it is perfectly possible to have a valuable estate which is extremely simple to deal with, or to have a small one which is quite complex & time consuming.

For example, if the main asset is a house worth £300,000 & the only other items in the estate are a few bank or building society deposits the work will be very straightforward & yet a % fee is charged on the lot - including the house value. (Remember this does not include any fee for conveyancing work if the solicitor also acts in sale of the house - that is a quite separate instruction with its own fee.)

The problem you have is that the solicitor is an executor & that rather limits your options. Nonetheless it would certainly be worth negotiating - including asking for a quote on an hourly rate basis if you feel the estate is of the kind outlined above.

[EdLaguna]

Thank you Themas for your response which is helpful. The Estate is relatively simple where the house is a large part of the Estate which also includes five small shareholdings and a few deposit accounts.

[themas]

Do also remember that you do not have to have all the work done by the solicitor. If you - or whoever is the co-executor - feel competent to do so there is no reason why you cannot deal with the shareholdings & deposit accounts yourself, & let the solicitor have the resulting papers to include in the IHT form.

[EdLaguna]

Appreciate your advice, Themas.