A shake-up of the divorce system in Britain could see couples urged to seek mediation rather than face a courtroom battle.

The recommendation from the Family Justice Review is intended to cut the strain on the system, as an increasing number of parents become involved in legal wrangles over children and money.

Family mediation is expected to save millions of pounds in legal aid, with more complicated cases dealt with in the courts, but in shorter and simpler hearings.

David Norgrove, chairing the Whitehall review, said yesterday there was currently a “tremendous strain” on the system which was “really intolerable” for children and their parents.

He told The Times: “The family justice system as a whole we estimate to cost just over £1.6 billion – much higher than anyone else has previously estimated.

“There is a general sense that more cases can and should be devolved from the court-based process.”

About 137,000 such cases were dealt with last year, a rise of 16 per cent, The Times said.

A Ministry of Justice spokesman stressed that the review, due to publish its findings next year, was continuing.

He said: “Family mediation can be quicker, cheaper, less stressful, and provide better outcomes than contested court proceedings.

“It is a voluntary and confidential process enabling people to explain their concerns and needs to each other in the presence of a qualified family mediator.

“This gives them the opportunity to communicate directly with each other, rather than via solicitors or across a courtroom. It is then they, rather than a judge, that decide an outcome that is mutually acceptable”.