Am I entitled to interest on a specific cash sum left under a Will?

With the Bank of England continuing to raise interest rates, a number of beneficiaries under estate administrations, who have been left a set sum of money under a Will (called a pecuniary legacy) have enquired if they will receive interest on the specified sums due to them, given the length of time it can take for the HMCTS Probate to issue probate, often required to enable executors to access the assets of the estate and make payment of any legacies.

When someone gets this kind of legacy, they normally only get the amount stated in the Will but if the estate is not administered within 12 months, they may be entitled to receive interest on their legacy.

Where a beneficiary has been left a specific cash sum under a Will they will be entitled to interest paid on that sum if it remains unpaid 12 months after the date of death (called the executors year.) Interest runs from the expiry of the12 months until the date of payment. This interest is not compounded and will take account of any part payment of the sum made if applicable.

The rate of interest is set at the Court Funds Office Basic Account rate and like interest rates set by high street bank and building society accounts, this rate fluctuates based upon what is happening with the Bank of England interest rates.

A Will may include a counter intention and the interest does not apply to specific gifts of financial assets under a Will or to Statutory legacies under an intestate estate, which have their own rules and rates if applicable.