From 7 April 2025 various courts across North and West Yorkshire, Cheshire, Merseyside, Cleveland, Newcastle, Durham, Greater Manchester, Lancashire, Cumbria and the West Midlands will be included in the new Express Financial Remedy Pilot.
The traditional process
When spouses are unable to reach an agreement in respect of their matrimonial finances following a divorce, they may make an application to the Family Court for Financial Remedy (Financial Relief). The parties are still expected to attend Mediation where appropriate before making their application to try and resolve the issues in dispute without the intervention of the courts. The process is as follows:
- The applicant makes an application to the court (Form A).
- The case is issued by the court and the parties are sent a timetable of when the next steps are to be completed.
- The matter is listed for a first hearing, the First Directions Appointment (FDA). The court makes directions as appropriate and parties are expected to exchange proposals to settle.
- There is a second hearing, the Financial Dispute Resolution (FDR) hearing where an indication is given by the judge to the parties as to what fair settlement terms might be.
- If parties are still unable to reach an agreement the matter would be listed for a third and Final Hearing, where after hearing all the evidence the judge will determine matters by way of a Final Order.
The Express Financial Remedy Pilot
The pilot aims to streamline this process where there are limited assets in the case, which it is hoped will ensure a more efficient and faster process with fewer delays. There is a greater focus on early settlement which in turn will be more cost effective.
Where both the applicant and respondents combined net assets (not including pensions) is less than £250,000 the Express Financial Remedy Pilot will apply when all new applications are issued in the pilot courts. Where combined net assets are above £250,000 the traditional procedure will still apply. The express process is as follows:
- The applicant makes an application to the court (Form A).
- The case is issued by the court, and the parties are sent a timetable of when the next steps are to be completed, including exchanging proposals to settle.
- The matter is listed for a first hearing the Financial Dispute Resolution (FDR) hearing and an indication is given by the judge to the parties as to what fair settlement terms might be.
- If parties are still unable to reach an agreement the matter would be listed for a second and Final Hearing, where after hearing all the evidence the judge will determine matters by way of a Final Order.
Therefore, rather than the case being listed for an FDA on issue, the first hearing will be the FDR. Parties are still required to exchange Form E’s (financial disclosure), produce questionnaires requesting any omitted information, obtain mortgage raising/borrowing capacity and agree valuations of any properties they own. However, in addition to this parties must now reply to the questionnaires, instruct any single joint experts (e.g. property valuations or pension reports) where required and exchange proposals to settle before the first hearing. The court expects parties to comply with the directions so the FDR can be effective and costs orders could be made against a party who does not.
If the case does not settle at the FDR, the court will give further directions as appropriate and list the matter for a Final Hearing.
The FDR will be listed between 16 and 20 weeks from when the application has been issued. Any final hearing will be listed between 26 and 30 weeks from the application being issued.
The new express procedure is the default and unless a case is complex (such as where there are complex assets or income structures, or other potentially complex issues or other circumstances the court considers would now allow the FDR to be viable) the new procedure will apply. The pilot will run until 3 April 2026, when it is expected it will be extended across England and Wales, and the net asset figure could be increased.
At Ison Harrison Solicitors we understand how daunting Financial Remedy proceedings can be. Our experts will advise and guide you with the process whilst seeking to achieve a financial settlement in your best interests which meets both your current and future needs. Contact our experienced Family Law team today on 0113 284 5000 or by email mail@isonharrison.co.uk.