MOD brings forward review of Armed Forces Compensation Scheme

The announcement follows debate over the current scheme and an appeal by the Ministry of Defence against a recent ruling in two cases.

The Defence Secretary said:

"We ask our Armed Forces to risk their lives for the safety of this country. As a government we have a responsibility to do all that we can to support them, and their families, when they suffer injuries in the line of duty.

"The purpose of the current appeal process was to ensure that our Armed Forces Compensation Scheme remains fair and compensates most those more seriously injured. As Defence Secretary I cannot allow the situation to continue that leaves the public in any doubt over my or the Government's commitment to our servicemen and women.

"Therefore, in order to deal with this complex issue in the most sensitive, effective and fair way possible, I have ordered the planned review of the compensation scheme to be brought forward from next year. The review will begin immediately in consultation with stakeholders including Service charities and families. We will confirm exactly how the review will be conducted shortly.

"The scheme is a relatively new one and is already a much fairer system than its predecessor. Only last year we doubled the lump sum payments for the most serious injuries to £570,000.

"However, I recognise that the changing requirements of our people mean that we cannot stand still. The world class medical care that we provide on operations means that more people are surviving very serious injuries than before. We need to ensure that the scheme is responsive enough to meet their needs.

"The debate in recent weeks has also demonstrated that the current scheme is not fully equipped to deal with anomalies, legal complexities and wider issues relating to how we compensate our servicemen and women.

"We always said that we would review the scheme. Now that the recent hearings in court have finished, I have decided that this review must begin. In particular it will look at whether current awards adequately provide both for the injuries sustained on operations by our servicemen and women, and for their recovery.

"The underlining principle of the scheme, that those most seriously injured should receive the most compensation, is an important one that we will maintain.

"I can offer an assurance, however, that new arrangements will benefit those with claims under the existing scheme, including those mentioned in the current court case."