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One of the most common objections to family arbitration is cost. Because an arbitrator must be paid directly, the process is sometimes viewed as an expensive alternative to court proceedings.
However, having worked in family law for many years, I have often felt that this focuses attention on the wrong issue. The question should not simply be what arbitration costs. It should also be what delay costs.
That distinction is felt strongly when pressure on the family court system continues to affect the pace at which cases can progress. Hearings can take months to arrange and families can find themselves waiting far longer than anticipated for decisions that will shape the next stage of their lives.
Against that backdrop, the latest figures from the Institute of Family Law Arbitrators show that family law arbitrations doubled between 2023 and 2025. Whilst arbitration remains less familiar than the court process, the increase suggests that more people are beginning to recognise its advantages.
The hidden cost of delay
One of the biggest misconceptions in family law is that delay has no real consequences.
The reality is that prolonged proceedings frequently generate additional expense. Legal fees continue to accrue, financial disclosure may need updating, valuations may need revisiting and expert evidence may require further work. At the same time, uncertainty remains unresolved, making it harder for families to move forward.
For that reason, I have never believed that the true comparison is between the cost of arbitration and the cost of court proceedings. In many cases, the more relevant comparison is between the cost of arbitration and the overall cost of reaching the same outcome through a slower process.
Why arbitration deserves greater attention
I have long felt that arbitration is one of family law’s best-kept secrets.
Arbitration allows parties to appoint an independent arbitrator and work towards a binding decision according to a timetable that reflects the needs of the case rather than the availability of the court. For many families, that ability to achieve certainty within a more predictable timeframe is a significant advantage.
The changes to the Family Procedure Rules introduced in 2024 have also encouraged greater consideration of Non Court Dispute Resolution (NCDR), whilst organisations such as the Family Law Arbitrators Group (FLAG) are helping improve awareness of the process.
Where mediation, collaborative practice or negotiation have not resulted in agreement, arbitration can often provide a quicker route to a final outcome. In many situations, the savings generated through a shorter process will offset, and sometimes exceed, the cost of the arbitrator’s fee.
By Nigel Shepherd, Family Law specialist
This article is provided for information purposes only and does not constitute legal or financial advice, nor does it represent an offer of credit.