Change is here. The UK’s civil justice system is undergoing one of the most significant transformations in decades. On October 1, 2024, amendments to the Civil Procedure Rules (CPR) came into effect, with a bold goal: to make legal disputes faster, cheaper, and more accessible through Alternative Dispute Resolution (ADR) especially mediation.
For too long, individuals and businesses have been trapped in lengthy, expensive, and emotionally exhausting litigation battles. Justice delayed is justice denied, and in many cases, legal costs spiral out of control, leaving even the winning party financially drained.
But the tide has turned. Courts are no longer simply encouraging ADR in many cases, they are ordering it. Mediation is now a core requirement, not just an option.
So, how will this impact people involved in civil disputes? Will it truly make justice more accessible, or are there hidden costs? Let’s explore what these changes really mean.
Understanding the Key Changes to the Civil Procedure Rules (CPR)
The 2024 CPR amendments introduce a fundamental shift in how disputes are resolved in the UK. Here are the most critical reforms:
1. ADR is Now a Formal Part of Civil Litigation (CPR 1.1 – The Overriding Objective)
Previously, courts encouraged mediation, but it was largely voluntary. Now, the Overriding Objective explicitly includes ADR as a key principle in resolving cases justly and at proportionate cost.
🔹 What this means:
Judges must consider whether ADR is appropriate before proceeding to trial.
ADR is no longer an optional extra it is a core element of civil justice.
2. Courts Can Now Order Mediation (CPR 3.1(2))
Perhaps the most radical change is that courts now have the power to order parties to engage in ADR.
🔹 Why this matters:
Refusing to mediate could have serious consequences, including financial penalties.
This move signals that the courts believe ADR should be the default first step in resolving disputes.
3. Compulsory Free Mediation for Small Claims Under £10,000
For smaller disputes, a one-hour free mediation session is now mandatory before a case can go to trial.
🔹 The impact:
This removes financial barriers for individuals who cannot afford legal representation.
It helps resolve minor disputes quickly, saving time and money for both parties.
It reduces the backlog of small claims cases, freeing up court resources for larger disputes.
4. Courts Can Penalize Parties Who Refuse ADR Without a Valid Reason (CPR 44 – Cost Sanctions)
A major concern in the past was that one party could refuse mediation, forcing the dispute into costly litigation. The new rules address this issue head-on.
🔹 What happens if a party refuses to mediate?
Courts can impose adverse cost orders, meaning they may have to pay the other party’s legal costs even if they win the case.
Judges will look unfavourably on parties who ignore ADR without a justifiable reason.
5. Complex Cases May Require Multiple ADR Sessions
For high-value or complicated disputes, courts can now:
Order more than one round of mediation if new evidence arises.
Require expert assessments before allowing the case to proceed to trial.
While this could increase initial costs, it prevents drawn-out litigation that could last for years.
How Will These Changes Impact Dispute Resolution in the UK?
These landmark reforms are set to reshape the legal landscape. But what will this actually mean for those involved in disputes?
1. Litigation Costs Will Decrease But Only If Parties Cooperate
Legal battles can drain bank accounts and emotional energy. With courts prioritizing ADR, parties can avoid massive legal fees associated with lengthy trials.
✅ Mediation is cheaper than going to trial.
✅ Court fees, barrister fees, and other expenses can be avoided.
✅ Small claims mediation is now completely free.
🚨 However, ignoring ADR can backfire!
If a party refuses to mediate, they could face steep cost penalties.
If mediation fails, parties may still have to pay additional ADR fees before the court even considers a trial.
2. Justice Will Be Faster and More Accessible
Court delays have been a major issue in the UK. Some civil cases have taken years to resolve, leaving people in financial and emotional limbo.
🔹 How ADR speeds up justice:
Mediation sessions can resolve disputes in a matter of days or weeks compared to the months or years it can take for a trial.
Small claims will move more swiftly, thanks to the mandatory free mediation requirement.
3. ADR Will Become the New Normal
For decades, civil litigation was the default way to resolve disputes. But the 2024 CPR reforms are changing that.
🔹 What this means for lawyers and businesses:
Legal professionals will need to adapt their strategies to focus more on negotiation and mediation.
Businesses will rethink their approach to contract disputes, consumer claims, and commercial litigation.
4. Some Cases Will See Higher Upfront Costs
While ADR generally reduces overall costs, some cases especially high-value commercial disputes may require additional mediation sessions or expert evaluations before going to trial.
🔹 Is this a problem?
While initial costs might increase, avoiding a full-length trial still saves tens or even hundreds of thousands of pounds.
Mediation encourages creative solutions that courts cannot offer helping parties reach settlements that work for everyone.
Final Thoughts: A New Era for UK Dispute Resolution
The 2024 Civil Procedure Rules reforms mark a turning point in how civil justice is handled in the UK. By making mediation and ADR a central part of the legal system, the government is aiming to:
✅ Reduce litigation costs
✅ Speed up case resolution
✅ Encourage cooperation between parties
✅ Make justice more accessible for small claims
However, these changes also bring new responsibilities. Parties must now engage with ADR in good faith, or face serious financial penalties. Lawyers, businesses, and individuals must adapt to this new dispute resolution culture because the old ways of litigation-first are coming to an end.
💡 Bottom line: Mediation is no longer just a suggestion it’s the future of civil justice in the UK. And those who refuse to embrace it? They may pay the price.
Avinder Laroya is a Senior Consultant Solicitor, Mediator and Arbitrator and conflict coach, she is an expert in International Dispute Resolution. If you enjoyed this article you can subscribe to my newsletter.
FAQs
1. Can courts force me to settle through ADR?
No. Courts can order parties to participate in ADR, but they cannot force anyone to settle. If mediation fails, the case can still go to trial.
2. What happens if I refuse ADR without a valid reason?
You could face cost sanctions, meaning you might have to pay the other party’s legal costs even if you win the case.
3. Does ADR apply to all types of civil cases?
Not all, but most. Small claims under £10,000 must go through compulsory mediation. For other cases, courts can order ADR if they believe it’s appropriate.
4. Is mediation legally binding?
Not unless both parties agree to a binding settlement. If an agreement is reached, it can be enforced like a contract.
5. How long does mediation take?
A single session can resolve disputes within hours or days, compared to months or years in court.
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