Small claims

July 2025 – mandated online civil money claims

From 28 July, eligible money claims under Practice Direction 51R must be made online.

The online civil money claims (OCMC) or money claims online (MCOL) services must be used to issue, respond and progress eligible fixed money claims.

Paper claims will no longer be accepted and will be returned to sender.

The only exceptions relate to any claims issued under: 

• Practice Direction 7B
• Practice Direction 7C, or
• Practice Direction 51ZB

July 2025 – automatic referral to mediation

HM Courts and Tribunals Service (HMCTS) launched a one-year pilot of automatic referral to mediation for claims:

• issued through the OCMC
• that arise from a road traffic accident, and
• do not involve a personal injury element

The pilot will inform future decisions about whether these claims should be subjected to mandatory referral to mediation.

During the pilot, the Civil Procedure Rule Committee will hold a public consultation.

An evaluation will also be held to review how the pilot is working in practice.

May 2024 – compulsory mediation

From 22 May 2024, parties to many small claims disputes, worth less than £10,000 must attend mediation through the Small Claims Mediation Service (SCMS).

Parties will automatically be referred to a free, one-hour, integrated mediation session designed to resolve cases.

Parties will not be required to reach a settlement at mediation, but it should provide an opportunity for a faster and more consensual resolution.

The Small Claims Mediation Service currently helps parties achieve a resolution of their dispute in around half of all cases.

October 2022 – government consultation on compulsory mediation

In October 2022, we responded to a government consultation on making mediation compulsory.

We raised concerns the changes would prevent some parties from accessing justice.

While mediation and other forms of alternative dispute resolution (ADR) should be used wherever appropriate, we do not support the compulsory use of mediation where it may be:

• detrimental to either party, or
• prevent access to justice

We advocated for adequate signposting and education to increase the uptake of mediation in appropriate cases and at an appropriate time.

We're concerned the changes may create a two-tier system: where some parties can access justice and others can only access the means to end a dispute – but potentially not in a just way.

We asked the government to:

• run a pilot with clearly defined parameters, including timeframes and measures of success
• evaluate data from the pilot thoroughly to guide any further steps
• consider how the Small Claims Mediation Service will handle such a large volume of disputes effectively
• provide litigants with clear guidance on what it means to undertake mediation and the legal consequences for those involved
• consider whether one or both parties would be legally represented (we're concerned about the potential power imbalances)

The government consultation closed on 4 October 2022.

Download our full response (256 KB)