Express Financial Remedy Pilot Scheme 2025

Between April 2025 and April 2026, a new Express Financial Remedy Pilot scheme will be introduced across some areas of the north of England.

This pilot scheme affects how a financial remedy order (also known as a financial order after divorce) is made. The aim is to help divorcing couples with combined net assets of £250,000 or less to reduce the standard three-hearing procedure to two hearings.

This article takes a look at current divorce financial settlement processes, changes under the scheme, eligibility, deadlines, and what happens where an agreement isn’t reached.

The current divorce court process

Where divorcing couples cannot agree on how to divide their matrimonial assets they ask the court to assist via financial remedy hearings. This is a three stage process which commences with a First Appointment, then a Financial Dispute Resolution (FDR) hearing and concluding with a Final Hearing.

This process is for all cases regardless of the value.

The approximate time between the filing of Form A (application for a financial order/remedy) to the Final Hearing is 50-52 weeks (though is dependent on backlog and case specific factors).

What is the Express Financial Remedy Pilot Scheme?

The Express Financial Remedy Pilot Scheme is a streamlined court process launching between 7 April 2025 and 3 April 2026 across select zones in the North of England.

Where the parties’ total combined net assets are estimated to be £250,000 or less, a two-hearing process, rather than the standard three-hearing process, to resolve these cases will be introduced.

Total combined ‘net assets’ means the combined value of the applicant’s and the respondent’s assets after the deduction of liabilities and mortgages. It excludes the applicant’s and the respondent’s pension rights or Pension Protection Fund compensation entitlement.

Where will the scheme be piloted?

For English financial remedy zones in counties North of Birmingham:

• Cheshire
• Lancashire
• Yorkshire
• Cumbria
• Merseyside
• Tyne & Wear
• Greater Manchester
• Northumberland
• County Durham

The Process

1. Form A (Divorce application): ‘yes’ or ‘no’ to net assets of £250,000 or less.
2. Divorce Application issued and listed for a first hearing, date and location are within Form C (Allocation order)
3. Within 28 days both parties must file and exchange fully completed Form E (Financial statement) with all supporting documentation. The first hearing will be a Financial Dispute Resolution hearing (FDR).
4. Within 14 days of exchanging Form Es, the parties must:
   • try to agree on property valuations or jointly instruct a single joint expert or jointly obtaining three market appraisals for each property;
   • present their mortgage capacities;
   • try to agree on the valuation of any other relevant assets;
   • must file and serve a questionnaire.
5. If there is a dispute on valuations:
   • jointly obtain market appraisals from three estate agents and use the average of those figures,
   • or in the alternative instruct an appropriate single joint expert to provide a valuation report.
6. If there is a dispute on mortgage capacities, each party must obtain a statement from a financial adviser detailing the maximum sum they could borrow, the terms of which such money can be borrowed and the monthly cost of the mortgage, to include the information upon which the figures are based.
7. 28 days after the service of questionnaires, the parties must file and serve their replies to the questionnaire + file a single joint expert property report + or any other commissioned expert report + up to three sets of property particulars for each party in respect of their housing needs. 
8. Questions to be posed to the single joint expert 7 days after their report has been served and the expert must answer those questions within seven days thereafter.
9. Up to 21 days before the FDR, the parties must file and serve their proposals for settlement, either open or on a without prejudice basis.
10. Up to 14 days before the FDR, the parties must prepare a schedule setting out the issues on which they disagree.
11. Up to 7 days before the FDR, the parties must file ES1, ES2 and a chronology. 

The Financial Dispute Resolution (FDR) Hearing

When does the FDR hearing take place?

The FDR hearing will take place between 16 to 20 weeks after Form A is issued. The hearing itself will last approximately 1 hour, but both parties should be available at court for the full day.

What happens at an FDR hearing?

At the FDR, the judge will review the documents that the parties have filed and encourage the parties to reach an agreement. The judge will also give them an indication of the likely outcome of the case.

What happens if the parties reach an agreement at the FDR?

If both parties agree a financial settlement during this hearing, the judge will make a record of the agreement and they will be expected to submit a consent order for the judge to approve, either at the hearing or subsequently on paper.

A consent order in divorce is a type of financial order. It makes the agreement legally binding so that it can be enforced by the court if there are any issues later. This order ensures that neither party can make any future financial claims against each other’s finances after their marriage, or civil partnership, is ended.

Although it is possible for parties to apply and draft a consent order, it is likely that most people will need specialist legal advice to assist them. A legal professional has knowledge of the terms which judges prefer to see in a legal document and is therefore likely to approve the order and make it legally binding.

The application for a consent order costs £60. This does not include any legal fees. If an individual wants to apply for a consent order without any legal advice, you can find more information here: https://www.gov.uk/money-property-when-relationship-ends/apply-for-consent-order.

If both parties have agreed to a financial settlement, neither party will need to attend a Final Hearing as the dispute has been resolved.

What happens if your case is no longer suitable for the express financial remedy pilot?

If, after the Court have issued the applicant’s Form A, either party considers that the case should not be part of the pilot, they can apply to leave the express financial remedy pilot by completing Form D11.

If the court agrees that the case is no longer suitable for the express financial remedy pilot, the court will then remove the case from the pilot and send both parties a revised timetable for their case, including a revised date for a first hearing.

What happens if the parties do not reach an agreement in the FDR?

The court will list the case for a Final Hearing. The judge will give the parties guidance (also known as directions) to help them both prepare for the Final Hearing.

What happens between the FDR and the Final Hearing?

Both parties will need to draft and exchange open proposals for settlement no later than 7 days after the FDR.

An open proposal should be drafted clearly and concisely to tell the judge what financial settlement the applicant is prepared to agree with the respondent.

The judge may direct either party to provide more information in their open proposals in advance of the Final Hearing or give other directions (instructions) in an order that must be followed.

The Final Hearing

The Final Hearing will take place between 26 to 30 weeks after Form A is issued. It will typically last 1 day.

At the Final Hearing, the judge will decide the outcome of the financial application and make a final order. The order is a legal document that confirms the court’s decision.

The advantages of the pilot scheme

• Lower legal fees: This is more attractive for parties that have lower value or modest shared equity in a family home. Less legal fees will be incurred as there are only two hearings to prepare for.
• Faster “clean break”: For non-acrimonious separations, an earlier settlement allows both parties to achieve a “clean break” more quickly.
• Reduced stress: For acrimonious separations it will minimalise the continual stress and anxiety for each party.
• Faster timelines: The Final Hearing will be arranged 26-30 weeks after the Form A has been submitted.

Complications of the pilot scheme

• Asset complexity: The scheme is for cases where the total combined net assets are less than c. £250k, excluding pensions and after deducting liabilities. Certain cases will fit that criteria but have other complicating factors such as:
  • Third-party interests
  • Complex business or asset ownership
  • Unusual income structures
  • Defined benefit pensions
  • International parties
• Application for Single Joint Expert: It is currently unclear as to whether the above cases would be excluded from pilot scheme. If complex cases are to be included, anticipate any disputed issues (e.g. the appointment of SJE) would need to be dealt with in an application prior to the first appointment given that hearing will be akin to FDR. Such an application and/or negotiation with other parties would accrue fees.
• Disclosure risks: Potential for non-compliance of disclosure prior to first appointment (akin to FDR under pilot scheme). If key information or evidence is missing, this could lead to:
  • Wasted costs
  • Delays
  • Need for an additional hearing

How Napthens Can Help

Napthens’ Family & Divorce Law specialist solicitors are on hand to guide you through the process. Contact us here or view information on our family law page.