London continues to be the global epicentre for high-value divorce litigation. Stephen Foster, Head of Divorce and Family 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.

London’s unique position in international divorce law

Often referred to as the “divorce capital of the world”, London’s courts are known for their equitable treatment of the financially weaker party. Stephen’s comments underscore this reputation, noting that the city’s legal system is particularly attractive to spouses seeking fair redistribution of wealth.

“London remains the jurisdiction of choice for the financially weaker party,” Stephen explains, citing the courts’ consistent approach to fairness.

The recent case of Potanin v Potanina highlights London’s attractiveness. Stephen comments: “The decision in the Potanin case reinforces that we are a magnet for foreign divorces, but the court infrastructure can’t 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.”

Arbitration and court backlogs: a growing shift

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.

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: “In practice, that means there will be last-minute cancellation of shorter hearings, and the court is double-listing on longer hearings.”

“The delays in the public court system are increasingly untenable for clients who need timely resolution,” Stephen explains. “Arbitration offers a way to bypass the bottleneck while maintaining control and confidentiality.”

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.

Private FDRs, meanwhile, replicate the court’s 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.

Partner Sam Longworth recently wrote in detail about the shift to arbitration, which can be read here.

The future of family law

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

Stephen comments: “For 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.”

Hiring Alex Verdan KC is just part of an investment in people the firm has made over the years. “The 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,” he says. As a result, the team now consists of 15 partners and 26 associates.

The global nature of high net worth families

Stephen points to the increasing complexity of financial arrangements in modern divorces, from offshore trusts to layered corporate holdings. London’s legal community is uniquely equipped to handle these challenges, thanks to its deep bench of financial and legal expertise.

“We’re seeing more and more cases involving opaque structures and international elements,” he notes, highlighting the need for specialist knowledge.

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 “a significant uptick in leave to remove applications”. The City AM article explains: “Unless there is an agreement in place, you can’t move a child from the jurisdiction (England or Wales) without an agreement.”

However, Stephen notes that “the exodus of non-dons is being offset partly by an influx of Americans”. He continues: “We’ve 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.”

Recent legal changes shaping the landscape

The divorce law landscape in England and Wales has undergone significant reform in recent years, most notably with the introduction of ‘no-fault divorce’ under the Divorce, Dissolution and Separation Act 2020, which came into effect in April 2022.

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: “The move to no-fault divorce has helped reduce unnecessary conflict and allowed couples to focus on resolution rather than recrimination,” he says.

Conclusion

Stephen’s reflections offer a nuanced view of London’s 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.

You can read the interview in City AM in full here.

Subscribe – In order to receive our news straight to your inbox, subscribe here. Our newsletters are sent no more than once a month.