The Control Centre

Discretionary Trust

A Discretionary Trust places your assets under the stewardship of trusted individuals who can respond to your beneficiaries' changing needs — offering unmatched flexibility and protection where a direct inheritance falls short.

When Discretion Is Essential

Young or Immature Beneficiaries Children or young adults who may not be ready to manage a significant inheritance. Trustees can release funds in stages as maturity develops.
Beneficiaries with Disabilities Individuals receiving means-tested benefits who would lose entitlement if they inherited directly. The trust preserves their support while supplementing their quality of life.
Blended Family Situations Where you wish to benefit children from multiple relationships without creating conflict or disproportionate outcomes.
Uncertain Future Circumstances When you cannot predict which beneficiaries will need support most — the trust adapts where a fixed Will cannot.

The Structure at a Glance

Settlor: The person who creates the trust and transfers assets into it — typically you, through your Will.
Trustees: The individuals or professionals appointed to manage the trust assets and make distribution decisions.
Beneficiaries: A defined class of people who may benefit — e.g., 'my children and their descendants.' No individual has a guaranteed right.
Letter of Wishes: A non-binding but influential document guiding trustees on your preferred distribution approach.
Trust Fund: The pool of assets held within the trust — property, cash, investments, or personal possessions.
Trustee Powers: The legal authority granted to trustees: to invest, distribute, accumulate income, or advance capital.

Why Choose a Discretionary Trust

01

Maximum Flexibility

Trustees have full discretion over when, how much, and to whom distributions are made from the trust fund — allowing the trust to adapt to circumstances you cannot foresee at the time of writing.

02

Protection for Vulnerable Beneficiaries

Ideal for beneficiaries who cannot manage a large inheritance independently — whether due to age, disability, addiction, or financial immaturity. The trustees control the purse strings.

03

Means-Tested Benefit Preservation

Assets held in a Discretionary Trust are not owned by any individual beneficiary, meaning they may not affect a beneficiary's entitlement to means-tested state benefits.

04

Creditor and Divorce Protection

Because no beneficiary has a fixed entitlement to the trust assets, those assets are better protected from beneficiaries' creditors, bankruptcy proceedings, or divorce settlements.

05

Inheritance Tax Planning

Discretionary Trusts can be used as part of a broader IHT strategy, particularly when combined with nil-rate band planning, to reduce the overall tax burden on your estate.

Secure Your Family's Future

Begin the process of setting up a robust Discretionary Trust today.

Enquire about Trusts