If you are owed money or have a dispute with a trader, landlord, or individual, the small claims court offers a straightforward way to resolve the matter without the expense and complexity of formal litigation. Whether you are chasing an unpaid invoice, seeking compensation for faulty goods, or trying to recover a tenancy deposit, understanding how this process works can help you decide the best course of action.

This guide by Axis Solicitors explains everything you need to know about using the small claims court in England and Wales, from assessing whether your claim is suitable to enforcing a judgement if the other party refuses to pay. However, please note that while this guide aims to be comprehensive, it does not cover every possible situation that arises in a small claims case.

Overview of the English Court System

The English legal system is designed to provide fair and accessible justice for everyone, whether you are an individual, a business, or an organisation. Civil disputes—such as those about money, property, or contracts—are usually handled by the County Court, which is part of the wider HM Courts & Tribunals Service. The County Court deals with a wide range of cases, from straightforward money claims to more complex matters involving property or personal injury.

Within the County Court, cases are allocated to different tracks depending on their value and complexity. The small claims track is specifically intended for lower-value disputes, typically up to £10,000, and is designed to be user-friendly, with simpler court rules and procedures. This means you do not need to be a legal expert or have a solicitor to bring or defend a claim.

Other courts, such as the High Court or Magistrates’ Court, handle different types of cases, but for most everyday civil disputes—like claiming money owed, resolving issues with faulty goods, or dealing with minor road traffic accidents—the County Court and its small small claims court are the main route to justice. The system aims to help people solve their problems efficiently, with clear processes and support available at every stage.

If you need to find the right court or check contact details, the HM Courts & Tribunals Service website provides a helpful search tool. Always make sure you are using the correct forms and following the latest court rules to ensure your claim or defence is processed smoothly.

Working of Small Claims Court in England and Wales

The small claims court UK is not a separate court building or institution. It is a track within the County Court system specifically designed for lower-value civil disputes, typically those worth up to a maximum of £10,000. This track covers everyday disagreements such as unpaid invoices, consumer complaints about faulty goods, minor property damage, and tenancy deposit disputes.

The purpose of this track is to provide a quicker, less formal route to justice. Court proceedings on the small claims track are streamlined, with relaxed rules of evidence and procedure compared to more complex cases. A judge will guide both parties through the hearing, asking questions and keeping matters focused on the key issues.

Parties can represent themselves throughout the process, and many people do so successfully. However, if your dispute involves complex facts, overlapping legal issues, or significant sums, you may benefit from instructing a solicitor. Axis Solicitors can guide clients through the small claims court process, particularly where matters become complicated or where professional advice would strengthen your case.

If you have a disability, you can request that the hearing be held at a suitable venue or that reasonable adjustments are made to accommodate your needs.

Is the Small Claims Court Right for Your Dispute?

Whether your dispute is suitable for the small claims court may depend on the type and value of the claim. The small claims court is best suited to clear money disputes where the value does not exceed £10,000. Common examples include unpaid loans between friends, disagreements over building or repair work, consumer problems with a UK trader, and straightforward contract disputes. If your claim falls within these categories and you have documentary evidence to support your position, this track may well be appropriate.

The standard financial limit for the small claims track is £10,000 for most types of claim. However, there are exceptions. For certain landlord repair claims in England, the small claims court limit is just £1,000, and personal injury claims are generally only allocated to this track if the damages for pain and suffering do not exceed £1,000. Going above these thresholds may push your case onto the fast track or multi-track, where the rules on legal costs are different and the process more formal.

In Northern Ireland, the maximum value of claims that can be heard in the small claims court increased from £3,000 to £5,000 on 3 October 2022. In Scotland, the small claims procedure can be used where the value of the claim is up to and including £3,000.

Types of cases usually suitable for the small claims court include debt and contract disputes, claims for compensation after receiving faulty services or goods, simple tenancy deposit issues, and minor property damage. If your dispute is straightforward and the facts are not heavily contested, you are likely to find the small claims process accessible and cost-effective.

However, not all disputes under the value limit belong on the small claims track. Complex personal injury claims, clinical negligence cases, serious housing disrepair matters, and claims involving defamation (such as libel or slander) are generally unsuitable, even if the sum claimed is modest. These types of case often require expert evidence, detailed legal argument, or involve questions of credibility that are better suited to a more formal court setting.

Trying to Resolve Your Dispute Before Using the Small Claims Court

Judges expect parties to make genuine efforts to settle their dispute before issuing a claim. Attempting to solve the problem without court action can save time, stress, and fees, and may lead to a quicker, more satisfactory outcome for everyone involved.

Start by contacting the other side in writing. Set out clearly what happened, what you are asking for, and why you believe you are owed the sum claimed. Keep copies of all emails, text messages, and notes of telephone calls. Gather any relevant documents such as contracts, invoices, receipts, photographs, and tenancy agreements.

Alternative dispute resolution online or in-person is encouraged in almost all civil disputes. Mediation is a common option, where a neutral third party helps both sides reach an agreement without the need for a judge to decide. Many sectors have ombudsman schemes, such as for financial services or utilities, which can investigate complaints at no cost to the consumer. Trade associations may also offer complaints procedures for disputes involving their members. When considering these options or preparing a letter before claim, refer to the relevant small claims court rules or practice directions to ensure you comply with pre-action protocols.

Writing a Formal Letter Before Claim

Before starting a small claims court case, you are normally expected to send a formal letter before claim (sometimes called a letter before action). This requirement is part of the court rules and the Civil Procedure Rules pre-action protocols, which set out the steps parties should take before issuing proceedings.

Your letter should be clearly headed “Letter Before Claim” and sent by recorded delivery post and, if possible, by email so you have proof of timing. A well-drafted letter before claim should include:

• Your full name
• Your complete address
• The defendant’s contact details
• The dates of the relevant events
• A clear explanation of what happened
• The contract or law you are relying on
• The exact sum you are claiming and how you have calculated it
• Any interest you intend to add
• A deadline for reply
• A statement about court rules

Set a clear deadline for the defendant to respond, usually 14 days for straightforward claims or 30 days for certain pre-action protocols. State that if you do not receive a satisfactory reply, you intend to issue a claim in the small claims court without further notice. You should also refer to the relevant practice direction or court rules in your letter before claim to demonstrate your awareness of procedural requirements.

Starting a Claim in the Small Claims Court

If your dispute is not resolved after sending a letter before claim, the next step is to issue a claim form and begin formal proceedings at small claims court. Most small claims cases are handled online through the Money Claim Online service or by submitting Form N1 by post. This involves providing details of your case, paying a fee, and having the court serve the documents on the defendant.

There are several routes for issuing money-only claims in England and Wales. The most common is the Civil Money Claims online service, which allows you to apply to start and manage most claims under £10,000 where both parties have a UK address and are over 18. Money Claim Online (MCOL) is an older system still used for certain types of claim. To use MCOL, you must register for an account with the UK Government Gateway. For claims that do not fit these online services, or where a party is under 18, you will need to use the paper N1 claim form.

Before you start, make sure you have the defendant’s correct legal name and address. For individuals, use their full name. For businesses, check whether they are a sole trader, partnership, or limited company, and search Companies House if necessary to confirm the registered details.

When completing your claim form, you will need to provide basic information about both parties, the value of the claim, and a concise statement (known as the particulars of claim) explaining what is owed and why. You will also need to state whether you are claiming interest and pay the court fees.

Using Small Claims Court Online Services

Many money claims can be started online at any time of day. You can apply to use the online services if your claim meets the eligibility criteria. The online systems calculate fees automatically and provide electronic records of your claim, making the process more convenient.

The Civil Money Claims service is typically used for claims under £10,000 where both the claimant and defendant have UK addresses and are aged 18 or over. You will need to set up an account, enter details of your claim, and submit payment online. The system will then serve the claim on the defendant and notify you when they respond.

Money Claim Online (MCOL) is still available for certain types of claim, though it has more limited functionality. MCOL will calculate the correct court fee based on the amount you are claiming. If you need help with MCOL, you can call the MCOL helpline, but they cannot provide legal advice. You cannot use MCOL if you are applying for ‘Help with Fees’ for a reduction in your court fee. Some claim types, such as those involving the Consumer Credit Act or certain tenancy disputes, may not be suitable for these online systems.

Using the Paper N1 Claim Form

Some claimants prefer or are required to use a paper N1 form for the small claims court. This applies if a party is under 18, the claim is not just for money, or the online systems cannot be used for another reason.

To use this form, download it from GOV.UK, and take care when completing it—ensure all sections are filled out clearly in black ink, and sign it. Post it with the correct fee (or your Help with Fees reference number) to the appropriate court. For most money claims, this is the Civil National Business Centre. For claims seeking non-money remedies, such as an order for repair works, you may need to send the form to your local County Court hearing centre.

Keep a full copy of everything you send to small claims court, including all attachments and evidence. The court will not automatically return original documents.

Small Claims Court Fees and Working Out How Much to Claim

Issuing a claim in the small claims court requires a court fee, which depends on the amount you are claiming. For most claims in England and Wales, the court fee varies based on the claim amount, starting at £35 for claims up to £300. This fee is normally added to the sum you are seeking from the defendant, so you can recover it if you win.

Small claims court fees increase in bands. For example, claims under £300 attract a lower fee than those between £300 and £500, and so on. The fee structure changes periodically, so always check the current County Court fees table on GOV.UK before you issue your claim. If you receive certain state benefits, you may be eligible for fee waivers or reductions when filing your claim.

When working out the value of your claim, use invoices, receipts, quotes for remedial work, or valuation reports. Keep evidence to justify the amount you are seeking, as the defendant may challenge your figures and the judge will want to see documentation.

You may be able to claim interest on the money owed, typically at 8% per year under the County Courts Act 1984 for certain debt claims, or at a contractual rate if your agreement specifies one. State clearly in the claim form whether you are claiming interest and how it has been calculated.

Be aware that some claim types, such as landlord repair claims in England, have special limits for the small claims track. If your claim exceeds these limits, it may be allocated to a different track with different cost rules, which could increase your financial risk. The small claims court does not pay the amount that is awarded; it only decides who is liable.

Responding to a Small Claims Court Claim

If you receive a small claims court claim, it’s important to act quickly and carefully. The court documents will include a claim number, details of the person or business making the claim (the claimant), and a summary of what is being claimed. Read everything thoroughly and make a note of the deadlines for your response—missing these can result in a county court judgment being entered against you by default.

What Happens After You Issue a Small Claims Court Claim?

Once your claim is issued, the court will send a copy of your claim form to the defendant, who must respond within a specified time frame. The court will serve it on the defendant (unless you have asked to do so yourself). The defendant then has a strict period to respond.

The standard timeframe is 14 days from service to respond, or 28 days if the defendant files an acknowledgment of service. Civil Money Claims may use slightly different timeframes, such as 19 or 33 days, depending on how service is carried out. After completing these procedural steps, it is important to ensure all forms and requirements are properly handled to avoid delays.

The defendant has several options. They can admit the claim in full and agree to pay, admit part of the claim, defend the whole claim, or make a counterclaim in response. If the defendant admits to some or all of your claim, the court will inform you about their offer and how to accept it. If the defendant disagrees with your claim, they must submit a document called their ‘defence’ to the court within a specified time frame. If the defendant admits the claim, you can request judgment for the amount admitted. If they defend, the case will continue to the next stage.

If no response is received by the deadline, you can request judgment in default. This is done online through the relevant service, or by using paper forms such as N225 (for a fixed amount) or N227 (for an amount to be decided by the court).

Mediation and the Small Claims Hearing

Many defended cases are referred to the free Small Claims Mediation Service. This is a telephone-based service where a neutral mediator helps the parties attempt to reach a settlement without the need for a hearing.

A typical mediation session involves separate, confidential telephone discussions with each party. The mediator shuttles between the parties, exploring whether common ground can be found. Sessions are usually completed within a set time slot and, if successful, result in a binding agreement.

If the case does not settle at mediation, the court sets a small claims hearing date and issues directions. At the small claims court hearing, you will usually appear before a district judge at a local County Court hearing centre. Hearings typically take place in a small room rather than a large public courtroom, and the atmosphere is informal. The judge will ask most of the questions and guide the process, rather than expecting formal legal submissions. Bring original documents, copies for the judge and the other side, and any witnesses. Be ready to explain your case clearly and concisely.

Judgment, Costs and Enforcing a Small Claims Court Decision

At the end of the small court claim procedure, or after considering written evidence, the judge will give a decision. This may be announced on the day or sent in writing later. The judgment will set out who won, how much money is awarded, and when it must be paid.

In the small claims track, recovery of legal costs is very limited. You can usually only recover fixed court fees, reasonable witness expenses, and capped loss of earnings. You cannot normally recover solicitor’s fees, which is one reason many people represent themselves.

If the defendant does not pay voluntarily after receiving the judgment, you may need to take enforcement action. Options include a warrant of control (sending bailiffs to seize goods), an attachment of earnings order (deducting money from wages), a third party debt order (freezing bank accounts), or a charging order over property or land.

A County Court Judgment from a small claims court case can affect the defendant’s credit record unless paid in full within one calendar month of the judgment date. This can be a powerful incentive for defendants to pay promptly.

Differences in Small Claims Procedures in Scotland and Northern Ireland

In Scotland, the traditional small claims procedure has largely been replaced by Simple Procedure in the Sheriff Court, which covers lower-value civil claims. The rules, forms, and online systems are different from those used south of the border.

In Northern Ireland, the small claims court generally deals with claims up to £5,000, following an increase from £3,000 in October 2022. Certain types of case, such as defamation and most property disputes, are excluded. The forms and procedures are specific to Northern Ireland and are not interchangeable with those used in England and Wales.

If you have a dispute with a cross-border element, for example a contract involving parties in Manchester and Belfast, you should seek specific advice on which jurisdiction applies and what procedures to follow.

Handle Small Claims and Related Disputes with Axis Solicitors

The small claims court is designed for people to represent themselves, but professional guidance can greatly reduce stress and improve the quality of your case documents. Even a short consultation can help you avoid common pitfalls and present your claim more effectively.

Axis Solicitors supports clients in a range of ways, including assessing whether a dispute is suitable for the small claims court, drafting letters before claim, preparing or reviewing claim forms and defences, advising on evidence, and negotiating settlements. Our team has particular experience in tenancy and housing disrepair problems, consumer and contract disputes, and smaller-value business and immigration-related contract issues. You can discuss your case and seek legal assistance from our experienced team.

We offer remote advice nationwide, as well as in-person meetings in Manchester, London, and Birmingham. If you are unsure whether to take your dispute to the small claims court, request a free initial assessment with Axis Solicitors today to understand your options and get practical advice.