Will trusts are mainly used by married couples and civil partners and are set up in conjunction with splitting ownership of the family home, to ‘tenants in common’. This means that they will own it in a different way. Each partner owns 50%. Instead of leaving this to each other, they leave it to a Trust. Upon death of the first partner their share of the property goes into trust via the Will.
Until recently, nil-rate band Will trusts were a common way of saving inheritance tax (IHT). However, since 2007 the ability to transfer unused IHT allowance ended the need to make this type of will trust for most couples, although they still ring fence assets against potential fees should you or your partner go into long-term care.