Letter before action: free template

What is a letter before action?

A letter before action, also called a letter before claim, is the formal letter you send someone before you start a court claim against them. It tells them what you are claiming and why, what you want them to do, and the date by which you want it — and that you will issue a claim if they don’t respond.

In England and Wales the courts expect it. The Practice Direction on Pre-Action Conduct and Protocols asks both sides to exchange enough information to understand each other’s position, try to settle without going to court, and treat litigation as a last resort.

What your letter should include

The Practice Direction says the claimant’s letter should give concise details of the claim. In practice that means:

• The basis of the claim — the agreement, invoice or event it rests on.
• A summary of the facts, with dates.
• What you want — the sum, the repair, the refund.
• For money claims, how the sum is calculated, so they can check it.
• The key documents, or an offer to share them.
• A deadline, and what you will do if it passes.
• An offer to consider mediation or another form of alternative dispute resolution. Refusing to consider it, or not replying, can be treated as unreasonable and lead to a costs order.

How long to give them

The other side should reply within a reasonable time: 14 days in a straightforward case, and no more than 3 months in a very complex one. Their reply should say whether they accept the claim and, if not, why — including any counterclaim. If the Debt Claims Protocol applies, the period is 30 days.

A business chasing an individual? Follow the Debt Claims Protocol

The Pre-Action Protocol for Debt Claims applies when any business — including a sole trader — claims a debt from an individual, including a sole trader. It does not apply between two companies. Its Letter of Claim is stricter:

• State the amount, whether interest or charges are still being added, the details of the agreement, how to pay, and where to send the Reply Form.
• Enclose an up-to-date statement of account and the Information Sheet, Reply Form and Financial Statement from Annex 1 of the Protocol.
• Date the letter at the top and post it that day or the next. From 1 October 2026 it must also be sent by email or other electronic means where you have those details.
• Wait 30 days from the date of the letter. If the debtor is getting debt advice or asks for documents, allow reasonable time, and give at least 14 days’ notice before issuing a claim once they have replied.

Tick the business box in the form above and the letter switches to the Protocol wording and a 30-day deadline. You still need to attach the Annex 1 forms.

Sending it

Send it in a way you can prove: Royal Mail Signed For or Special Delivery for post, and email as well if that is how you have been dealing with each other. Keep a copy of the letter, the proof of postage and anything you enclose — if the claim goes to court, this shows the judge you tried to settle first.

If they don’t pay: the small claims track

Claims up to £10,000 normally go to the small claims track in England and Wales, with lower limits for personal injury and housing disrepair claims. You can start most money claims online through GOV.UK’s Make a court claim for money service; you can’t use it if the amount is unknown, there are three or more defendants, you are claiming for more than one person, nobody has an address in England or Wales, or the claim is against a government department. Court fees depend on the amount — see the GOV.UK fee table.

Since 22 May 2024, small money claims are referred automatically to a free mediation service before a hearing. Costs you can recover on the small claims track are limited, but the court can order extra costs against a party who behaved unreasonably — which can include ignoring pre-action conduct.

Interest you can add

• Most claims: the court can award interest, usually at 8% a year, simple. It is at the court’s discretion, and a rate set in your contract takes priority. GOV.UK explains how to work it out.
• Business to business: under the late payment rules you can charge interest at 8% plus the Bank of England base rate, unless the contract says otherwise, and a fixed sum for recovery costs of £40 on debts under £1,000, £70 on £1,000–£9,999.99 and £100 on £10,000 or more.

Time limits

Under the Limitation Act 1980 you generally have 6 years to bring a claim for breach of contract or most other civil wrongs, and 3 years for personal injury. Sending a letter before action does not stop that clock, so don’t let a deadline drift.

Getting a tenancy deposit back in England

Your landlord must protect your deposit in a government-approved scheme — the Deposit Protection Service, MyDeposits or the Tenancy Deposit Scheme — within 30 days, and return it within 10 days of you agreeing the amount. If you disagree about deductions, the scheme’s dispute service can decide. If the deposit was never protected, you can apply to the county court for between one and three times the deposit. GOV.UK covers the rules on tenancy deposits.

Keep it firm, not threatening

Section 40 of the Administration of Justice Act 1970 makes it a criminal offence to pressure someone to pay a contract debt with demands that cause alarm, distress or humiliation, by falsely saying non-payment will lead to criminal proceedings, by falsely claiming official authority, or by sending documents made to look official. Stick to what you will actually do: issue a civil claim.

Scotland and Northern Ireland

The rules above are for England and Wales. Scotland uses the simple procedure for claims of £5,000 or less in the sheriff court, and Northern Ireland uses the small claims process for claims up to £5,000 in the county court. A clear letter asking for payment by a deadline is still the right first step in both, but the court procedures differ.

This page explains general rules for England and Wales as of October 2026. It is not legal advice. For a large claim, a complex dispute or a time limit that is close, speak to a solicitor or Citizens Advice.