Love might be in the air - but it’s also a good time talk about money

Thinking long term

The findings, unveiled in LV’s latest Wealth and Wellbeing research, show that while many couples aim to share financial decisions fairly, income, family set‑ups and long‑term planning can often tell a very different story.

Nearly half of UK adults say responsibility for long-term financial decisions is shared equally with their partner. Women are more likely than men to say decisions are balanced (53 per cent vs 41 per cent).

However, income appears to tilt this balance. Among those earning £100,000 or more, 47 per cent say they personally carry most of the financial responsibility, compared with a third of people earning between £25,000 and £99,000.

Family life also shapes money habits. Adults without children are more than twice as likely to keep their finances separate, compared to parents with children under 18 (22 per cent vs 9 per cent), suggesting greater financial interdependence once children enter the picture.

Despite this, planning together isn’t always occurring. Nearly one in five people (18 per cent) expect to rely on their partner’s pension in retirement and fewer than one in ten (6 per cent) say their partner mostly manages their shared finances.

These mismatches in responsibility and expectation could leave couples exposed later in life, particularly when it comes to retirement income, protecting against unexpected events, or coping if circumstances change.

Sarah Hills, LV= wealth expert, says: “Money is still one of the hardest topics for couples to talk about honestly, yet it’s one of the most important.

“While equality is a goal for many, income and family circumstances often shape outcomes. Planning together, and having a clear understanding of each other’s expectations, is essential for long-term financial wellbeing.

“Without tailored financial advice, some couples could face serious consequences, from insufficient retirement funds to unexpected liabilities. Professional guidance helps ensure decisions are informed, fair, and resilient to life’s changes.”

It can be tricky to talk money

Lisa Caplan, director of Charles Stanley Direct Advice and Guidance, part of Raymond James Wealth Management, says whether you’ve just started going out with someone or are quite settled into life with your partner, talking about money remains one of the trickier topics to openly discuss. There are several ways that couples can manage their finances; separately, jointly, or a combination of the two. While there is no strict right or wrong answer to how you manage your finances, good communication is key to making sure you’re on the same page about such things as your life goals and how you can afford them.

1. Have a money date night

Communication is key to any relationship and having regular, open discussions about your finances is no exception. Whether this is talking honestly about your own financial views, experiences, strengths, or weaknesses, it’s important to be honest with your partner. Though it might not sound glamorous, it’s worth setting aside time to have a financial date night where you can discuss anything from your future goals together, property plans, starting a family, or even your next holiday. Doing so helps to ensure you’re on the same page to help you reach your goals together and avoid any surprises down the line.

Couple up your finances

Depending on the stage of your relationship, it may be worth thinking about ways you can help each other with your financial goals, whether that’s budgeting, spending or saving. You could set up a joint bank account for your bills and day-to-day spending, or build a joint savings pot for holidays. This can be a good way to hold each other accountable, especially if you’re determined to reach your goals. It is still important though to maintain financial independence, so be sure to maintain your own individual bank accounts for personal spending and ensure a joint one is for shared expenses.

Share your thoughts

If you have concerns about your finances, or even your partner’s, don’t suffer in silence. Make sure to address your concerns with your partner and see if you can sort any issues together. Speaking to each other will help alleviate some of the worry and stop it from snowballing into a bigger issue.

Utilise your allowances

Married couples or civil partners are able to benefit financially when it comes to tax allowances. One major advantage is that spouses can transfer money and assets between themselves tax free, helping to reduce your overall tax bill. The inheritance tax (IHT) threshold for married couples in the 2025/26 tax year is £650,000, providing the first person to pass away leaves all of their assets to their surviving spouse. For example, if one spouse is a higher earner and the other is a basic rate taxpayer, transferring investments can result in lower tax on dividend and capital gains tax.

Plan for your future

It’s well known that your employer can pay into your pension, but so can your partner. Your pension pot is a great asset to have, and comes with tax benefits, so it’s important to make the most of it. If one of you isn’t working for any reason, such as taking maternity leave, you can use the other’s income to top up your pension savings.

Think about joint accounts

Liz Hunter, commercial director at price comparison website MoneyExpert, comments: “We are seeing a radical shift in how British couples manage their money. Recent data shows that nearly half of UK couples now keep secret savings totalling almost £20,000, while 44 per cent of under-30s dismiss joint accounts as an outdated concept. In this era of economic uncertainty, the 'financial marriage' is being redefined; people are no longer just pooling their cash, they’re seeking a delicate balance between transparency and independence.

“While a joint account remains a powerful tool for managing household bills, it’s clear that for many, keeping a 'financial exit door' open has become a priority. Opening a shared account is a significant milestone that legally binds your credit scores together.

“Before diving in, couples must have an honest money talk, because while it simplifies the outgoings, one partner’s spending habits can quickly jeopardise the other's financial future. This Valentine’s Day, here’s everything you need to know before opening a joint bank account.”

She points out the benefits of banking together:

• Simplified bill management - Having a joint account eliminates the ‘who owes what’ debate. If you’re a couple and you live together, the chances are you’ll jointly be responsible for any monthly bills and outgoings. By pooling funds for rent, mortgages, shopping, and utilities, you ensure all essential outgoings are covered in one place. As long as you both pay enough in regularly, you can be certain that the money you need is there when you need it.
• Built-in accountability - Sharing a bank account allows couples to track their spending together, making both accountable for any outgoings. It also encourages healthier spending habits, discourages impulse spending, and can help you build a more trusting relationship with your partner regarding your finances.
• Greater protection - Every individual in the UK has Financial Services Compensation Scheme (FSCS) protection of up to £120,000 per bank or building society where they hold an account, which will compensate them in the event of the bank or building society entering insolvency. This limit rose in December. Couples who open a joint account can receive up to £240,000 in protection from the FSCS, provided they don’t have a separate account with the same bank, giving them greater assurance that their money is safe and secure.
• Automatic right of survivorship - If the unthinkable happens and someone in a couple dies, the other account holder will have instant access to the funds available in the joint account, even if they aren’t married. This eliminates the need for a Grant of Probate to access funds in the account (which is usually required to access funds from a standalone bank account when a partner dies).
• Save together - A joint account is a great way for couples to save for a shared financial goal, such as buying a house or a holiday. It also makes saving much easier, as you can view your money in one place, helping you build a better relationship with money and potentially reaching your target amount even quicker.

The risks to consider:

• The ‘credit co-association’ trap - This is probably the biggest risk. When you open a joint bank account, your credit files become linked. If one partner has a poor credit history or high debt, it can negatively affect the other partner's score, making it harder to obtain financial products such as loans and credit cards in the future. To avoid this, have a conversation with your partner before you open a joint bank account to ensure it's the right decision for you and won’t affect your financial situation in the long run.
• Joint liability for debt - Those named on a joint bank account share equal access and are jointly responsible for any overdraft fees incurred. Therefore, if either account holder overspends and incurs an overdraft, it is the responsibility of both parties to repay the amount, regardless of who overspent.
• Loss of financial independence - In the event of a relationship breakdown, the 'no legal protection' rule applies. One partner could legally empty the account, and the bank is rarely able to intervene. Therefore, it’s essential that you both reach a collective agreement on your finances to ensure you agree on how any remaining funds in the joint account are divided. If a split isn’t amicable and an ex-partner racks up debts using the funds and overdraft in the account, the other named account holder will still be liable for any monies owed to the bank. There is no legal protection to fall back on if your partner takes any of the funds. You should contact your bank as soon as possible to let them know you’re splitting up, as they can offer solutions such as separate accounts or a temporary freeze.

Things to consider before signing up:

• Do you trust each other with money? - You need to be able to trust each other if you’re going to collectively pool your finances together in one account. If either partner has a history of poor financial management, is prone to overspending, or frequently uses their arranged overdraft, consider whether a joint account is the best option for both of you. Remember, it’s important to understand each other's spending habits before committing to a joint bank account together.
• Do you have different relationships with money? - It’s worth having a conversation with your partner before you commit to a joint bank account, as your spending habits could cause issues with both your finances and your relationship later on down the line. Ensure you share similar financial goals and communicate effectively about money. If your financial goals align, then a joint bank account could be a good option. If they don’t, separate accounts are likely the better option.
• Top tip: Don't go 'all in' immediately. I recommend the 'three-account strategy': Keep your individual accounts for personal spending and 'fun money,' and open a third joint account specifically for shared bills and savings. This maintains independence while simplifying your life together.