Sharing the Increase in Value of Separate Property under the Property (Relationships) Act 1976: A conceptual conundrum

Abstract

In 2001 Parliament enacted some far-reaching amendments to the Property (Relationships) Act aimed at bolstering the equal sharing regime and removing obstacles to equality to secure an equitable outcome for spouses and partners. However, the changes made to s 9A — the provision that enables Increases in value of separate property to be converted to relationship property — fail in this regard. This article will demonstrate that s 9A is now conceptually incoherent, internally inconsistent and incompatible with the aims and principles of the Property (Relationships) Act. Indeed, the amendments to s 9A are a retrograde step that have undermined the coherent approach to the classification and division of increases in value of separate property that the courts had already begun to develop prior to the 2001 amendments.