Moved by
Baroness Deech
6: After Clause 1, insert the following new Clause—
“Orders limited to matrimonial property
(1) In this Act “matrimonial property” means all property and interests in property, including any pension rights, which could be the subject of a pension sharing order or a pension compensation sharing order, belonging to the parties or either of them at the date of the relevant financial order which—
(a) was acquired—
(i) during the marriage; and
(ii) otherwise than by gift, inheritance or succession from a third party; and
(b) does not directly or indirectly represent property acquired by them or either of them before the marriage.
(2) For the purposes of subsection (1)(b)—
(a) any premises and household goods acquired before the marriage for use by them as or in their home shall be treated as acquired during the marriage;
(b) if any property that would otherwise fall within subsection (1)(b) is used and applied so as to increase the value of any matrimonial property the property so used or applied shall be treated as matrimonial property;
(c) if any matrimonial property belonging to one party is used or applied so as to increase the value of an asset which belongs to the other party, and is not matrimonial property, a proportionate share (by value) of that asset shall be treated as matrimonial property; and
(d) paragraph (c) shall also apply if by exceptional personal skill or effort a party to the marriage increases the value of an asset which belongs to the other party, and is not matrimonial property.
(3) Subsections (2)(b) to (d) do not apply in relation to any asset if it appears that the costs of investigation and valuation required for the application of the relevant paragraph in subsection (2) would be likely to exceed one-fifth of the amount of the proportionate part or adjustment.
(4) Except as provided in section 3 (pre-nuptial and post-nuptial agreements), no relevant financial order shall be made otherwise than in relation to matrimonial property.”