London’s Disputes Crown: Navigating a Shifting Global Landscape
London’s enduring appeal as a premier destination for resolving complex commercial disputes is facing a new era of competition and change. Whereas English law and the Commercial Court’s established expertise remain significant draws, evolving litigant demographics, the rise of alternative dispute resolution centers, and the integration of artificial intelligence are reshaping the future of the market.
The Changing Face of Litigants
The London Commercial Court continues to handle a substantial volume of cases – 257 judgments between April 2024 and March 2025 – operating near full capacity. Though, the composition of those utilizing the court is shifting. The number of litigants has increased by 12% to 1,368, with a record 93 nationalities represented. Notably, participation from EU27 countries has decreased by 7.8%, while participation from the rest of the world has risen by 4.8% to a record 45.5%.
This trend suggests a broadening geographic profile of court users, driven by increased engagement and a wider recognition of the Commercial Court’s influence. Public perception reinforces this, with 78% of the UK public believing English courts significantly impact the country’s global reputation.
Brexit’s Limited Impact and the Power of Certainty
Despite initial concerns, Brexit has not triggered a significant decline in EU usage of the English Commercial Court. Market participants continue to prioritize the predictability and contractual certainty offered by English law. The UK’s accession to the Hague Convention on Judgment Recognition in 2025 has further streamlined cross-EU enforceability, alleviating earlier concerns about jurisdiction.
For financial institutions, certainty remains paramount. English courts are favored for interpreting widely used English-law financial documentation, demonstrating a preference for established legal frameworks over forum shopping.
The UAE’s Rising Prominence
One of the most significant long-term trends is the surge in litigants from the United Arab Emirates (UAE). They now represent the second most common nationality in the English Commercial Court, surpassed only by UK nationals. This growth reflects the UAE’s emergence as a global wealth and investment hub, generating more cross-border disputes.
The development of courts like the Dubai International Financial Centre (DIFC) and the Abu Dhabi Global Market (ADGM), which utilize English law frameworks, has also increased regional businesses’ comfort with English law litigation. Sophisticated high-net-worth individuals in the UAE are increasingly drawn to London’s neutrality and predictability.
Competition from Emerging International Courts
London now faces increasing competition from a new generation of international commercial courts, particularly those in Singapore, Dubai, and Abu Dhabi. These jurisdictions offer English-language proceedings, experienced common law judges, and more permissive regimes for foreign lawyers.
While some shifts are occurring, the data suggests a segmentation of disputes rather than a wholesale move away from London. The DIFC and ADGM courts are rapidly improving and becoming more attractive, particularly due to their minimal adverse costs exposure, which can be a significant factor for price-sensitive litigants.
Did you know?
The UAE courts have signaled their willingness to enforce English judgments, while UK courts have reciprocated with recognition of UAE judgments, strengthening the enforcement relationship between the two jurisdictions.
Enforcement Confidence and Reciprocity
Reciprocity and enforceability remain crucial factors in forum selection. The strengthening relationship between London and the UAE, with both courts demonstrating a willingness to recognize and enforce each other’s judgments, provides greater confidence for parties. This allows for a strategic approach: obtaining an English judgment and then enforcing it in the UAE or other relevant jurisdictions.
The AI Revolution in Litigation
Artificial intelligence (AI) is rapidly transforming the litigation landscape. While public confidence in AI is highest for administrative tasks, legal professionals are more likely to view it as enhancing fairness. The English courts have a strong track record of adopting new technology, having embraced predictive coding and Technology Assisted Review early on.
Generative AI is now accelerating this shift, particularly in disclosure, where it is already reducing time and cost. The Commercial Court is expected to support the careful, supervised use of these tools, recognizing AI’s potential to improve efficiency, affordability, and international competitiveness.
Pro Tip:
Consider the enforceability of judgments when selecting a forum. Strong reciprocal enforcement agreements, like those between the UK and UAE, can significantly enhance the value of a favorable outcome.
FAQ
Q: Is Brexit impacting the use of English courts?
A: Not significantly. The predictability of English law and the Hague Convention have mitigated concerns.
Q: Which countries are increasingly using London for disputes?
A: The UAE is showing the most significant increase in litigants.
Q: How is AI changing litigation?
A: AI is improving efficiency and reducing costs, particularly in disclosure.
Q: What are the main strengths of London as a dispute resolution center?
A: Centuries of legal precedent, a specialized judiciary, a strong supporting ecosystem, and global enforceability.
To learn more about navigating the evolving disputes landscape, explore our resources on legal finance or contact our team for a consultation.
