Legion welcomes compensation gains
09 March 2011
The Royal British Legion today welcomes the implementation of changes to the Armed Forces Compensation Scheme that will mean significant increases to the awards paid to injured personnel.
"Our campaign to Honour the Covenant has scored another victory, and one that will bring direct and real benefit to those who deserve it most -- those injured in Service," said Director General Chris Simpkins.
The changes, which will see an average of 25% increase to awards paid for injuries due to Service, will be introduced following the recommendations from the Armed Forces Compensation Scheme Review, carried out by former Chief of the Defence Staff Admiral the Lord Boyce last year in consultation with The Royal British Legion.
"The debt we owe to our Armed Forces lasts for life," added Mr Simpkins, "and these improvements more fairly reflect the sacrifices they make on behalf of the nation."
The Scheme pays a tax-free lump sum for injuries due to service, with the most seriously injured given tax-free, index-linked Guaranteed Income Payment for life. This payment will be increased under the current changes to better reflect the lasting impact of injuries on future likely promotions and on the ability to work up to age 65.
Other changes include:
- An increase, which averages in excess of 25%, to all lump sum award payments. This doesn't include the top award which was recently doubled to £570,000;
- Nearly tripling the maximum award for mental illness from £48,875 to £140,000 in order to accurately reflect the impact of the most serious mental health conditions;
- The creation of a new independent medical expert group to advise on compensation for specific, relevant illnesses and injuries such as hearing loss and mental health;
- A revised approach to awarding compensation for multiple injuries, whereby all injuries sustained will receive some compensation.
All personnel who have already received an award under the Scheme since its introduction in 2005 will have their case automatically re-visited and will receive an uplift based on the new award levels.
The changes are detailed in a report published today from the Parliamentary Under-Secretary of State for Defence, Andrew Robathan called 'The Review of the Armed Forces Compensation Scheme - One Year On'.
"There are some issues, such as hearing loss and mental health, that we would still like considered further and the Independent Medical Expert Group will be looking at these over the coming months," Mr Simpkins said. "Meanwhile, lets hope the claims are revisited speedily, fairly and effectively."
