Credit Their Service: fixing unfairness in the benefits system

Francis Thomas, Public Affairs and Campaigns Officer, works on RBL's campaigning with MPs and Peers. RBL and Poppyscotland produce a manifesto for every UK General Election to outline a programme for Government to better serve our Armed Forces community.

One of RBL and Poppyscotland’s 2024 Manifesto priorities is ‘Credit Their Service’. We’re calling on the next UK Government to change regulations and make sure that military compensation is never considered as an income source when deciding if people are eligible for welfare benefits.?

Each year, 100,000 veterans or bereaved family members receive ongoing payments from the Government compensating them for pain, disability, or loss of life in service to HM Armed Forces.?

We’ve found that these payments are treated as income when deciding eligibility for many welfare benefits. In contrast, compensation for injury for civilians, awarded by a court or a private settlement, is exempt.?

This means that a veteran who receives compensation for an injury in service, who needs to apply for benefits, will receive less than those who hadn’t served, and some will get no support at all. But if somebody had the same injury in their workplace and received compensation for it, those payments would not be held against them.?

We're asking the Government to make sure that Armed Forces compensation is never treated as income by benefit calculations.??

Graham’s story?

We know that many members of the Armed Forces community are facing increasing living costs and struggling with the continuing impact of service. And, because of unfair benefit rules, some are missing out on thousands of pounds a year in support.?

Army veteran Graham receives compensation from the Government for psychological injury in service that makes him unable to work. In March 2022, Graham received a letter that his local council would now consider this compensation as income. He would no longer receive Council Tax Benefit and must pay ￡1,500 a year.??

With no regulations to protect him, Graham had to fight this decision, and after six months of phone calls and emails, the council changed their policy to exempt his compensation.?

Graham told us the process:?

“Causes you rage. Frustration. Sleepless nights and adds to despondency.

“You can’t get a person to speak to you. It’s like being a number and being completely dehumanised. You ring people up and get no explanation because they don’t understand it themselves.?

“Why should it be a financial officer who decides to consider War Disablement Pension as income when for all these years they haven’t?”?

What needs to change??

RBL and Poppyscotland’s General Election Manifesto 2024 calls for the Government to change benefit rules to make sure that this doesn’t happen to anyone.?

Currently, councils can choose to exempt compensation from benefit means tests, and many do. Our manifesto asks for national regulations to make sure that no benefits tests treat veterans and their families unfairly.?

As Graham said:?

“I blame the government. I’m cross with the local authority, but I’m cross that there is that ambiguity from government. It shouldn’t be that hard to pass a bill.”?

The Government must make sure that military compensation is never treated as an income source by means tests across local and national welfare benefits.?

To read our General Election Manifesto 2024 in full, visit: rbl.org.uk/Manifesto2024??