"The service is free and helps resolve money disputes without the need for a court hearing.
You work with a trained, neutral mediator from HM Courts and Tribunals Service, who helps you to identify and resolve issues.
Mediation is offered if:
Cases that could typically benefit from mediation include:
Mediation is cheaper for you than going to court, where additional fees and expenses will apply. Many people find they can resolve the dispute quickly through mediation. It takes on average 2 to 3 weeks for a mediation appointment - the target wait for a court date is 30 weeks.
While mediation may help you avoid court, it will not delay your ongoing court process. You must continue to comply with all court directions.
If you make a claim and the other party disputes your claim - or, if a claim is made against you and you dispute it - mediation is offered. Both parties must agree to mediation.
If a judge reviews your case the judge may refer your case for mediation.
Once both parties have agreed to mediation, you’ll be given a date and time for your telephone appointment. The appointment will last up to one hour.
During your appointment the mediator:
For mediation to work you should:
Someone else can be with you at mediation - this could be a trusted friend, relative, or a solicitor.
If mediation is successful, you’ll make a verbal agreement over the phone. This is legally binding which means that you must comply with it. You’ll be given the terms of the agreement in a document – this is called a settlement agreement.
If either party breaks the terms, then the other party can go to court to ask for a judgment or hearing.
If mediation fails and a court hearing is needed, what happened during the mediation appointment cannot be mentioned in court.
You will not have to wait longer for a court hearing if you choose mediation."
Source: https://www.gov.uk/guidance/small-claims-mediation-service