{"id":269641,"date":"2025-11-10T09:41:39","date_gmt":"2025-11-10T09:41:39","guid":{"rendered":"https:\/\/dominiclevent.com\/blog\/?p=269641"},"modified":"2025-11-10T09:41:39","modified_gmt":"2025-11-10T09:41:39","slug":"why-london-is-the-global-capital-for-divorce","status":"publish","type":"post","link":"https:\/\/dominiclevent.com\/blog\/why-london-is-the-global-capital-for-divorce\/","title":{"rendered":"Why London is the global capital for divorce"},"content":{"rendered":"\n
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London continues to be the global epicentre for high-value divorce litigation. Stephen Foster<\/a>, Head of Divorce and Family<\/a> at Stewarts, recently spoke to City AM and offered a compelling perspective on why the city remains unrivalled in its appeal to elite practitioners and international clients alike.<\/strong><\/p>\n

London\u2019s unique position in international divorce law<\/strong><\/h2>\n

Often referred to as the \u201cdivorce capital of the world\u201d, London\u2019s courts are known for their equitable treatment of the financially weaker party. Stephen\u2019s comments underscore this reputation, noting that the city\u2019s legal system is particularly attractive to spouses seeking fair redistribution of wealth.<\/p>\n

\u201cLondon remains the jurisdiction of choice for the financially weaker party,\u201d Stephen explains, citing the courts\u2019 consistent approach to fairness.<\/p>\n

The recent case of Potanin v Potanina<\/em><\/a> highlights London\u2019s attractiveness. Stephen comments: \u201cThe decision in the Potanin<\/em> case reinforces that we are a magnet for foreign divorces, but the court infrastructure can\u2019t cope with it. There is a paradox in that the courts are overloaded, yet that case has potentially opened the floodgates to more cases coming in.\u201d<\/p>\n

Arbitration and court backlogs: a growing shift<\/h3>\n

One of the most pressing challenges facing the family courts in London is the growing backlog of cases, which has led to significant delays in hearings and judgments. Stephen acknowledges that this has prompted a noticeable shift toward private arbitration and private financial dispute resolutions (FDRs) as viable alternatives.<\/p>\n

The City AM article highlights recent changes brought in by the President of the Family Court, Sir Andrew McFarlane, to prioritise public law cases by reducing the time allocated to financial cases. Stephen comments: \u201cIn practice, that means there will be last-minute cancellation of shorter hearings, and the court is double-listing on longer hearings.\u201d<\/p>\n

\u201cThe delays in the public court system are increasingly untenable for clients who need timely resolution,\u201d Stephen explains. \u201cArbitration offers a way to bypass the bottleneck while maintaining control and confidentiality.\u201d<\/p>\n

Arbitration allows parties to appoint a qualified arbitrator, often a retired judge or senior barrister, to resolve financial disputes outside the traditional court system. The process is binding, faster and conducted in private, making it particularly attractive to high net worth individuals concerned about publicity and disruption.<\/p>\n

Private FDRs, meanwhile, replicate the court\u2019s financial dispute resolution process but in a more flexible and client-friendly setting. Stephen notes that these alternatives are not just stopgaps but are becoming strategic choices for clients who value discretion, speed and tailored outcomes.<\/p>\n

Partner Sam Longworth recently wrote in detail about the shift to arbitration, which can be read here<\/a>.<\/p>\n

The future of family law<\/h3>\n

Stephen predicts that high asset cases and private law cases will increasingly look to arbitration as the new norm. The article states: \u201cThe law firm is already working on that trend, as it recently hired a silk<\/a>, Alex Verdan KC<\/a>, from barristers\u2019 set 4PB to head up its specialist children\u2019s team and create a one-stop shop advocacy offering for its ultra-high net worth and high-profile clients.\u201d<\/p>\n

Stephen comments: \u201cFor hundreds of years, we had a split profession in England between solicitors and barristers, and we have a straightforward but radical idea of the benefits of bringing everything under one roof.\u201d<\/p>\n

Hiring Alex Verdan KC is just part of an investment in people the firm has made over the years. \u201cThe world was changing, cases were getting bigger, and the globalisation and movement of money and people meant that you needed a team of lawyers on a big asset case,\u201d he says. As a result, the team now consists of 15 partners and 26 associates.<\/p>\n

The global nature of high net worth families<\/h3>\n

Stephen points to the increasing complexity of financial arrangements in modern divorces, from offshore trusts to layered corporate holdings. London\u2019s legal community is uniquely equipped to handle these challenges, thanks to its deep bench of financial and legal expertise.<\/p>\n

\u201cWe\u2019re seeing more and more cases involving opaque structures and international elements,\u201d he notes, highlighting the need for specialist knowledge.<\/p>\n

Stephen notes that the wealthy are on the move. People are leaving due to the changes to non-dom status, and he says this has led to \u201ca significant uptick in leave to remove applications\u201d. The City AM article explains: \u201cUnless there is an agreement in place, you can\u2019t move a child from the jurisdiction (England or Wales) without an agreement.\u201d<\/p>\n

However, Stephen notes that \u201cthe exodus of non-dons is being offset partly by an influx of Americans\u201d. He continues: \u201cWe\u2019ve had a significant number of inquiries about Americans who are very happily married, but they want to move here. They want to understand when they move from Silicon Valley to Notting Hill or the Cotswolds, what the position would be over here for them. One of the attractions is the ability to arbitrate here and not necessarily in the US.\u201d<\/p>\n

Recent legal changes shaping the landscape<\/h3>\n

The divorce law landscape in England and Wales has undergone significant reform in recent years, most notably with the introduction of \u2018no-fault divorce\u2019 under the Divorce, Dissolution and Separation Act 2020, which came into effect in April 2022.<\/p>\n

This reform removed the need to assign blame or cite specific grounds such as adultery or unreasonable behaviour, allowing couples to divorce more amicably. Stephen views this as a positive shift: \u201cThe move to no-fault divorce has helped reduce unnecessary conflict and allowed couples to focus on resolution rather than recrimination,\u201d he says.<\/p>\n

Conclusion<\/h3>\n

Stephen\u2019s reflections offer a nuanced view of London\u2019s divorce law ecosystem. As recent reforms and practical pressures reshape the landscape, London remains a jurisdiction that champions fairness, adaptability and discretion. For practitioners and clients alike, the city continues to offer not just legal expertise but a framework for resolution that respects both the financial and emotional dimensions of divorce.<\/p>\n

You can read the interview in City AM in full here<\/a>.<\/p>\n

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