Small Claims Court in the UK: How to Make a Claim Step by Step

If someone owes you money, sold you faulty goods or failed to deliver a service you paid for, the small claims court is often the most practical way to settle the dispute. It is designed for ordinary people and small businesses, not just lawyers: the process is simpler than a full court case, the costs are kept under control, and many claims are resolved before anyone has to stand in front of a judge. This guide explains what the small claims court is, when it is the right route, and how a claim works from the first letter to the final judgment.

What the Small Claims Court Actually Is

The “small claims court” is not a separate court building. In England and Wales it is the small claims track of the County Court: a simplified procedure used for straightforward, lower-value claims, such as unpaid invoices, deposits that were never returned, faulty goods, poor workmanship and minor property damage. Cases are usually decided by a district judge in a relatively informal hearing, and the rules on costs are deliberately limited so that the losing side is not usually ordered to pay the winner’s legal bill. That cost protection is one of the main reasons the process works for individuals and small firms. Scotland and Northern Ireland run their own systems (Scotland uses a “simple procedure”), so check which rules apply where the claim arises. Most money claims in England and Wales can be started online through the government’s money claims service, or on a paper form if you prefer.

Before You Claim: The Steps That Strengthen Your Case

Courts expect you to have tried to settle the dispute first. Before filing anything, send the other side a clear “letter before action” that explains what you are claiming, why, how much, and a reasonable deadline for payment or a response. Keep copies of everything: the contract or agreement, invoices, receipts, emails, messages, photographs and notes of phone calls. Many disputes turn on what was actually agreed, so it is worth reading our guide to the law of contract in the UK to understand how agreements are formed and enforced. It is also worth checking that the person or business you are claiming against is likely to be able to pay if you win; a judgment against someone with no money or assets may not recover anything. For traders and companies, a quick check of their trading status and reviews can save you a wasted fee.

How to Start a Small Claim

Starting a claim is mostly administrative. You complete a claim form naming the claimant (you) and the defendant (the person or business who owes you), set out brief particulars of what happened and the amount claimed, and pay a court fee, which is calculated on the size of the claim. If you win, the fee is normally added to what the defendant must pay you. The court then serves the claim on the defendant, who has a set period to respond. They can admit the claim and pay, offer part-payment, file a defence, or ignore the claim entirely. If they ignore it, you can ask the court to enter judgment in your favour by default. If they defend, the court will usually allocate the case to the small claims track and give directions, which often include an offer of mediation and a date for a short hearing. Businesses use the same route for unpaid bills, as our guide to commercial law in the UK explains in the wider context of trading disputes.

One more reason not to delay: most claims have a legal time limit, and a claim that is started too late can be barred completely, however strong the evidence behind it. Acting while invoices, messages and memories are still fresh also makes the claim itself far easier to prove, and it gives the other side a fair chance to pay before costs begin to build.

Small Claims Court or Employment Tribunal?

Not every dispute belongs in the County Court. Claims about your employment, such as unfair dismissal, discrimination or unpaid wages brought as an employment claim, usually go to the Employment Tribunal instead, which has its own procedures, time limits and fee history. Our complete guide to unfair dismissal explains how those claims work, and our breakdown of employment tribunal costs shows how the cost rules differ between the two systems. Choosing the wrong forum can waste months, because a court or tribunal can strike out or transfer a claim that was started in the wrong place. If your dispute is with an employer, it is also worth checking the free employment law advice options available before you file anything, since early advice often resolves workplace disputes without a hearing at all.

Settling Before the Hearing

A large share of small claims never reach a judge. Once a defence is filed, many cases are referred to a free mediation service, where a neutral mediator helps both sides agree a settlement by phone. Settlement is usually quicker, cheaper and less risky than a hearing, and you stay in control of the outcome instead of leaving it to a judge. Even outside formal mediation, a realistic written offer can end the dispute: many defendants pay once they see the claim is serious and documented. Where a workplace dispute has already been negotiated, a formal settlement agreement may be used to record the deal, and our settlement agreement calculator guide explains how those figures are usually estimated. If you do settle, get the terms in writing, including the amount, the payment date and confirmation that the claim will be withdrawn once the money arrives.

The Hearing, the Judgment and Getting Paid

If the case does reach a hearing, it is normally short and informal. The judge will have read the paperwork, will ask both sides questions, and usually gives a decision the same day. Bring organised copies of your evidence, arrive early, and be ready to explain the story briefly and calmly: judges respond far better to clear documents than to long speeches. Winning, however, is only half the job. If the defendant does not pay by the date in the judgment, you may need to enforce it. Options include asking enforcement officers (bailiffs) to collect the debt, an attachment of earnings order if the defendant is employed, or a charging order against property in larger cases. Each step has its own form and fee, so many people treat enforcement as a second, separate decision and weigh the cost against the amount owed. Keep every document from the case until the money is actually in your account, and remember that a County Court judgment can affect the defendant’s credit record, which is itself a strong reason many defendants pay promptly once judgment is entered.