The War Pension Scheme provides former Armed Forces personnel with up to £12,471 a year in tax-free payments. Designed for veterans who sustained service-related injuries, illnesses, or conditions before 6 April 2005, the scheme offers long-term financial support. Many veterans remain unaware of its benefits, despite the scheme being a key source of guaranteed income.
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How the Scheme Works
Eligibility for the War Pension Scheme is limited to those who served in the Armed Forces before 6 April 2005 and developed health conditions directly linked to their service. A medical advisor evaluates each case and assigns a disability percentage from 1% to 100%, which determines the type and level of payment. Veterans with minor conditions typically receive a one-off lump sum, while those with greater disablement qualify for ongoing tax-free payments.
Payment Structure
The War Pension Scheme accommodates both minor and severe conditions. Veterans assessed under 20% disablement usually receive a one-time lump sum, while those at 20% or higher are eligible for regular monthly or weekly payments. At the top entitlement level, the scheme offers up to £12,471 annually, equivalent to about £1,039 per month.
| Disablement Level | Payment Type | Description |
|---|---|---|
| Under 20% | Lump Sum | One-time, tax-free settlement |
| 20% or more | Regular Pension | Weekly or monthly tax-free payments, adjusted annually |
Applying for the War Pension Scheme
To apply, veterans can use the UK Government website or request a paper form through the Veterans UK Helpline. Claims may also be submitted via email. Applicants must provide medical details, National Insurance and bank information, service records, evidence linking the injury or illness to service, and information about other benefits they receive.
Special Rules for UK Special Forces Veterans
Veterans who served in the United Kingdom Special Forces or in a supporting role must contact the MOD A Block Disclosure Cell and often request Express Prior Authority in Writing (EPAW). This ensures sensitive service records are processed securely and their claims are properly handled.
Difference Between WPS and AFCS
The War Pension Scheme covers service before 6 April 2005, whereas the Armed Forces Compensation Scheme applies to service on or after that date. Both schemes compensate for service-related injuries or illnesses, but veterans must apply under the correct program depending on their period of service.
| Scheme | Service Period Covered | Coverage |
|---|---|---|
| War Pension Scheme (WPS) | Before 6 April 2005 | Compensation for injuries, illnesses, or conditions caused by service |
| Armed Forces Compensation Scheme (AFCS) | On or after 6 April 2005 | Compensation for injuries, illnesses, or deaths related to service |
Key Points About Eligibility and Payments
- Open to all former Armed Forces personnel with service-related conditions before 6 April 2005
- Payments are tax-free and adjusted annually with the Consumer Price Index
- One-off lump sums for minor disablement, regular payments for 20% or more disablement
- Special procedures exist for UK Special Forces veterans to protect sensitive records
Frequently Asked Questions (FAQ)
- Who is eligible for the War Pension Scheme?
Veterans who served in the Armed Forces before 6 April 2005 and have service-related injuries, illnesses, or conditions. - How much can I receive annually?
Payments can go up to £12,471 per year, depending on the level of disablement. - Are payments taxed?
All War Pension Scheme payments are tax-free. - How do I apply for the scheme?
Applications can be submitted online, by mail, or by email via Veterans UK. Required documents include medical records, service details, and proof of other benefits. - What is the difference between WPS and AFCS?
WPS covers service before 6 April 2005, while AFCS covers service on or after that date. Veterans must apply under the appropriate scheme based on their service period.
