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Royal Assent25 Feb 2025

Changes to Rules for Private Dispute Resolution Outside Courts

Arbitration Act 2025

justiceeconomy
First Reading
Second Reading
Committee
Report
Third Reading
Lords
Royal Assent

Summary

This bill changes the rules for arbitration - a system where people and businesses resolve disputes privately instead of going to court. An arbitrator (a neutral person) makes binding decisions that both sides must follow. The bill updates how arbitration works in England, Wales and Northern Ireland. It covers when arbitration agreements are valid, how arbitrators are chosen, what procedures they must follow, and how their decisions can be challenged in court. The government says this will make the UK more attractive for international business disputes and modernise outdated rules. Critics say some changes might reduce access to justice by making it harder to challenge unfair arbitration decisions in court.

Key Points

  • 1Updates rules for arbitration - private dispute resolution outside court system
  • 2Covers when arbitration agreements are legally binding and enforceable
  • 3Sets new procedures for choosing arbitrators and conducting hearings
  • 4Changes when and how arbitration decisions can be challenged in court
  • 5Government says this will attract more international business to UK

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Read the full bill on legislation.gov.uk