Where there's a Will there's a way
^ TOPEnglish Inheritance Law
In England in general you can leave your money to who you like. There are inheritance provision laws that allow the court to effectively change the will in favour of certain specified persons, including financial dependants. That is purely to make reasonable provision for them. However subject to that possible court action, you decide what happens to your money (apart from the part which goes in inheritance tax).
^ TOPThe Continental Position
That is not the position in much of the continent. There in many places the idea of the "reserved portion" is common. This essentially stems from the Napoleonic code. For example in France most of a dead person's estate must be left to close relatives. In large part the state dictates which persons are to receive your money on death.
^ TOPFreedom of Choice
Quite apart from the economic consequences (such as the potential splitting up of farms or other business units) an important principle of freedom of choice is involved. Your money is your money, not your children's or other close relatives. You might have a child you do not get on with, or a child with a spouse you detest. You might have a child you would not trust not to fritter it away, whilst you have another (or someone else) you would trust to put it to good use. Also you might consider that the money would be bad for your children or a particular child and would be better left to charity. You earn your money, and should be able to take your own decisions as to what happens with it. Or so you might think.
^ TOPHarmonisation?
That could all be about to change. On the apparently spurious suggestion that because heirs in one country can find difficulty taking possession of an inheritance in another it is desirable to "harmonise" inheritance laws (why not just apply the inheritance laws of domicile and get other member states to agree to enforce them to property within their own territories?) legislation has been introduced in the European Parliament. The legislation was drafted by Italian MEP Giuseppe Gargani and approved by a big European Parliament majority. Mr Gargani seems to think that leaving a large part to relatives is an important aim of public policy. It is thus plain that that, rather than any compelling need to change the law because of enforcement, is driving the proposed change.
^ TOPPrinciple and Freedom
Quite apart from exactly where this would leave trusts, if seriously pursued this would interfere with a long standing English legal principle and individual freedom of choice. The only interference justifiable is already provided for by statute where the court has a discretion to make reasonable provision in appropriate circumstances. This is nothing to do with the ease of enforcement, it is about trying to impose a principle of public policy regarding what you're allowed to do with your money. This has not yet gone far through the European decision-making process. If it does, it will be deplorable. Sadly, if the institutions have the will to do it, they are likely to find the way.