In a significant policy shift, the Ministry of Justice (MoJ) has confirmed its intention to apply mandatory mediation to all claims within the Online Civil Money Claims (OCMC) process valued under £10,000, excluding only those with an element of personal injury. This marks a departure from the previous position that excluded all road traffic accident (RTA) claims from the mandatory mediation regime.
As a result, non-injury RTA claims – including credit hire cases – will now fall within the scope of mandatory mediation via OCMC. While personal injury claims remain outside the OCMC for now, this development represents a material shift in how small-value RTA disputes may be managed through the courts.
We are actively engaging with the MoJ on this development, particularly to raise concerns around the suitability of mediation in credit hire claims, where liability and quantum issues are often complex, and insurers have historically faced challenges in achieving cost-effective resolution through mediation mechanisms.
In parallel, key procedural updates to both the Damages Claims Portal (DCP) and OCMC are being implemented in July 2025. These include full mandation of OCMC for legal representatives, new digital settlement and discontinuance requirements, and the release of new functionality within the portals.
The MoJ has confirmed that all claims submitted via the OCMC platform under the small claims track (i.e. valued under £10,000) will now be subject to mandatory mediation, excluding only those involving personal injury.
This represents a notable change from the previous position, under which all RTA claims were excluded from the mandatory mediation pilot. The inclusion of RTA claims without a personal injury component (such as credit hire, vehicle damage, or storage claims) within OCMC will have widespread implications for insurers, including:
We are seeking further clarity from the MoJ on how this change will be operationalised within OCMC, and whether additional exemptions, safeguards or mediation standards will apply to these claims. Insurers should prepare for a marked rise in mediation activity in RTA non-injury small claims cases over the coming months.
HMCTS has announced that from the end of July 2025, use of the Online Civil Money Claims (OCMC) platform will become mandatory for legal representatives issuing or responding to eligible specified money claims under PD 51R.
After this date, paper issue and response will no longer be accepted and will be returned to sender.
Clients already using the OCMC will need to ensure their law firm representatives are registered as professional users via MyHMCTS. Registration requires an SRA number. Where cases are issued against insured parties, firms should continue to ensure nominations are in place to avoid defendants receiving direct links from the portal.
Legacy platforms, including MCOL, are now being phased out and will be fully decommissioned as the OCMC and DCP move into full mandation.
A new Query Management function has been added to the DCP, allowing claimant users to raise technical or procedural queries within the portal and track their progress – a move intended to increase transparency and efficiency.
However, key limitations include:
The feature also provides a channel for broader procedural notifications within the DCP file, but its effectiveness will depend on court adoption and clarity of process.
Although the DCP (under PD 51ZB) and OCMC (under PD 51R) are technically distinct pilot schemes, they are hosted on the same digital platform. The difference lies in the claim type:
Despite the separate Practice Directions, both claim types flow through a unified system. As long as representatives are registered, they will be able to issue and respond to both specified and unspecified claims.
Clients should ensure they are registered to use the MyHMCTS portal (an SRA number is required for registration), particularly as mandation takes effect. Unregistered firms will be unable to issue or respond once mandation is in place.
HMCTS has not confirmed whether additional funding has been secured for further development of the DCP. While technical features like query management have been introduced, broader ambitions – such as full end-to-end integration, enforcement functionality, and API compatibility – remain unfulfilled.
A list of proposed future enhancements is expected from HMCTS and we will share updates once sight of that roadmap has been provided. Continued investment will be essential to deliver the functionality required by insurers and legal users.
As a reminder, the Keoghs email address for nominations is: DCP@keoghs.co.uk
We will continue to engage with the MoJ on this policy development, particularly in relation to credit hire claims and the practicalities of mandating mediation in small-value motor disputes.
Please get in touch with your usual contact at the firm if you would like any support with the DCP and OCMC.
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