What to Do When Someone Dies: A Financial Checklist

Losing a loved one is one of the most emotionally challenging experiences any of us will face. Amidst the grief, the sudden weight of administrative and financial responsibilities can feel overwhelming. From notifying government departments to managing complex Inheritance Tax rules, the "to-do" list often arrives at the exact moment you feel least equipped to handle it.

This guide provides a comprehensive roadmap for what to do when someone dies in the UK. We aim to break down the technical jargon of probate, taxes, and asset management into manageable steps, allowing you to focus on what matters most: honouring your loved one’s memory. While the process can be lengthy—sometimes taking a year or more for complex estates—taking the right steps in the first few weeks can prevent significant legal and financial headaches later.

Step 1: Immediate Actions and Registering a Death

The first few days involve critical administrative tasks. In England, Wales, and Northern Ireland, you must register a death within five days (this includes weekends and bank holidays). In Scotland, you have eight days.

Obtaining the Medical Certificate

Before you can register the death, you need a medical certificate signed by a doctor or a report from a coroner (or procurator fiscal in Scotland). If the death happened in a hospital, the staff will usually coordinate this. If it happened at home, you should contact the deceased’s GP.

The Registration Process

You should register the death at the local register office in the area where the person died. You will need to book an appointment. When registering a death, the registrar will issue:

• The Death Certificate: It is highly recommended to purchase multiple "certified copies" (usually £12.50 each in 2025). You will need these for banks, insurance companies, and pension providers.
• The Certificate for Burial or Cremation (the 'Green Form'): This gives permission for the funeral to take place.
• A unique reference number: This is for the "Tell Us Once" service.

Step 2: Using the Tell Us Once Service

One of the most helpful tools provided by the UK government is the Tell Us Once service. This service allows you to report a death to most government organisations in one go, rather than contacting each department individually.

The registrar will provide you with a reference number to use the service online or via telephone. You must use it within 84 days of the death. It covers departments including:

• HM Revenue and Customs (HMRC) for Personal Tax and National Insurance.
• Department for Work and Pensions (DWP) for State Pension and benefits.
• Driver and Vehicle Licensing Agency (DVLA) to cancel a driving licence.
• The Passport Office.
• The local council for Council Tax and Blue Badges.

Step 3: Managing Bank Accounts and Immediate Finances

One of the most common concerns is freezing bank accounts after death. The process differs depending on whether the account was held solely or jointly.

Sole Accounts

Once a bank is notified of a death, they will freeze any account held in the deceased's sole name. No further withdrawals can be made. However, most banks will allow funds to be released from a frozen account to pay for funeral expenses or Inheritance Tax (IHT) before probate is granted, provided you present the invoice and death certificate.

Joint Accounts

Accounts held jointly usually operate under the "right of survivorship." This means the surviving account holder automatically takes full ownership of the funds, and the account does not get frozen. You will simply need to show the death certificate to the bank to have the deceased's name removed from the account.

Step 4: Locating the Will and Identifying the Executor

To move forward with the estate, you must determine if there is a valid Will. This document names the Executors—the people responsible for managing the deceased’s affairs. If there is no Will, the person is said to have died "intestate," and the law dictates who inherits (usually the closest living relatives) and who can act as the "Administrator."

Applying for Probate

Probate is the legal process of proving that a Will is valid and confirming who has the authority to administer the estate. In England and Wales, this is a "Grant of Probate" (or "Letters of Administration" if there is no Will). In Scotland, it is known as "Confirmation."

1. Check if probate is needed (not always required for small estates, usually under £5,000–£30,000 depending on the bank).
2. Value the estate (assets like property and savings minus debts like credit cards or mortgages).
3. Complete the Inheritance Tax (IHT) forms for HMRC.
4. Apply for the Grant of Probate online or via post.
5. Pay the application fee (currently £300 for estates over £5,000 in England/Wales for 2025/26).

Step 5: Understanding Inheritance Tax (IHT)

Inheritance Tax is often the most complex part of what to do when someone dies in the UK. For the 2025/26 tax year, the standard IHT threshold (the "Nil-Rate Band") is £325,000. If the estate’s value is below this, there is usually no IHT to pay, but you still need to report the value to HMRC.

The Residence Nil-Rate Band (RNRB)

If the deceased is leaving their main home to their direct descendants (children or grandchildren), they may be eligible for an additional £175,000 allowance, known as the Residence Nil-Rate Band. This can bring the total tax-free threshold to £500,000 for an individual.

Step 6: Notifying Other Organisations

Beyond the government and banks, there is a long list of private organisations that need to be informed. This is often where the most time is spent in the weeks following the funeral.

• Utility Companies: Gas, electricity, water, and broadband providers.
• Insurance Providers: Life, home, car, and medical insurance. (Note: Car insurance may become invalid if the policy was in the deceased's name).
• Pension Providers: Private or workplace pensions may offer a survivor's pension or a lump sum death benefit.
• Landlord or Mortgage Provider: To arrange for future payments or lease termination.
• Digital Legacy: Closing or memorialising social media accounts (Facebook, Instagram, LinkedIn).

Step 7: Final Distribution of the Estate

Once probate is granted, debts are paid, and HMRC has issued a clearance letter regarding IHT, the Executor can begin distributing the assets according to the Will. It is vital to keep detailed records of all transactions during this period, as beneficiaries have a legal right to see an "Estate Account."

Bereavement Support Payment

If your spouse or civil partner has died, you may be eligible for the Bereavement Support Payment. To qualify, you must have been under State Pension age when they died and they must have paid sufficient National Insurance contributions. This consists of an initial lump sum followed by 18 monthly payments.

Key Takeaways

• Register the death quickly: Within 5 days in England/Wales/NI and 8 days in Scotland.
• Use "Tell Us Once": This saves dozens of phone calls to government departments like HMRC, DWP, and the DVLA.
• Secure the property: Ensure the deceased's home is secure and the insurance provider is notified if it is standing empty.
• Notify banks early: Be aware that sole accounts will be frozen, but joint accounts remain accessible to the survivor.
• Track the deadlines: Remember the 6-month deadline for starting Inheritance Tax payments to avoid interest charges.