The Armed Forces and Reserve Forces (Compensation Scheme) (Amendment) Order 2025
This Order amends the 2011 Armed Forces and Reserve Forces Compensation Scheme.
It increases the weekly armed forces independence payment to £187.45 and the Motability payment to £77.05.
Additionally, it adds a new descriptor to Schedule 3, covering overuse injuries of the larynx requiring operative treatment, making a temporary award permanent.
Arguments For
Improved financial support for injured service personnel: The amendment increases the armed forces independence payment and the Motability payment, providing more financial assistance to those injured during their service.
Enhanced compensation scheme fairness: Adding a new injury descriptor to the tariff ensures that a wider range of injuries are covered by the compensation scheme, promoting fairness and equity.
Streamlined administrative processes: The inclusion of the new descriptor removes bureaucratic procedures associated with temporary recognition of injuries. This ensures consistency in applying the scheme, while preventing delays in compensation, supporting immediate aid for affected personnel.
Legal precedent: The amendments are made under the powers conferred by section 1(2) of the Armed Forces (Pensions and Compensation) Act 2004, providing explicit legislative authorization.
Evidence-based adjustments: The changes are likely based on assessments of the costs of living and the needs of recipients of the scheme.
Arguments Against
Potential budgetary implications: Increasing compensation payments may lead to higher overall expenditure for the Ministry of Defence.
Unforeseen consequences: Introducing new descriptors and increased payments may prove complex or lead to unintended consequences that may require follow-up adjustments.
Limited scope: The amendments focus solely on specific payments and a limited number of injuries and may not address all deficiencies in the existing scheme.
Alternative approaches: Other measures could have been considered to help those affected by injury, including investment in rehabilitation services or extended support networks.
Limited public engagement: The process of creating and approving the order may not have involved adequate consultation with stakeholders or affected individuals affecting long-term solutions and clarity.
- Citation and commencement This Order may be cited as the Armed Forces and Reserve Forces (Compensation Scheme) (Amendment) Order 2025 and comes into force on 7th April 2025.
This section provides the official title of the Order and states its effective date as April 7th, 2025.
- Extent This Order extends to England and Wales, Scotland and Northern Ireland.
This section clarifies that the Order's provisions apply across the entire United Kingdom.
- Amendment of the Armed Forces and Reserve Forces (Compensation Scheme) Order 2011 The Armed Forces and Reserve Forces (Compensation Scheme) Order 2011 is amended in accordance with articles 4 and 5.
This section indicates that the Order modifies the existing 2011 Armed Forces and Reserve Forces Compensation Scheme, with the specifics detailed in later articles.
- Amendment of article 24A In article 24A (award of armed forces independence payment), in paragraph (3), for “£184.30” substitute “£187.45”.
This article increases the weekly armed forces independence payment from £184.30 to £187.45.
- Amendment of article 24D In article 24D (payment of armed forces independence payment in respect of Motability), in paragraph (2), for “£75.75” substitute “£77.05”.
This article increases the weekly payment for Motability related expenses from £75.75 to £77.05.
- Amendment of Schedule 3 (1) Schedule 3 (the tariff and supplementary awards), Part 1 (descriptors, tariff levels and amounts – “the tariff”) is amended as follows. (2) In Table 2 (injury, wounds and scarring)— (a) after item 64, insert— 64A. 14. Overuse injury of the larynx, causing functional limitation or restriction, requiring or expected to require operative treatment.
This article adds a new entry to Schedule 3, Table 2.
It permanently includes compensation for overuse injuries of the larynx that cause functional limitations and require surgery.