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Armed Forces Compensation Scheme (Amendment) Order 2026

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Published April 6th, 2026
Detected March 13th, 2026
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Summary

The Armed Forces and Reserve Forces (Compensation Scheme) (Amendment) Order 2026 amends the 2011 order, updating definitions, payment amounts for armed forces independence payment, and tariff levels for specific injuries. The changes come into effect on April 6, 2026.

What changed

The Armed Forces and Reserve Forces (Compensation Scheme) (Amendment) Order 2026, effective April 6, 2026, makes several substantive amendments to the 2011 compensation scheme. Key changes include updating definitions for pension schemes (FTRSPS 2010 to FTRS 1997, NRPSPS to NRPS 2011), increasing specific payment amounts for armed forces independence payment from £187.45 to £194.60 and for Motability from £77.05 to £80.00, and revising tariff levels for mental disorders and fractures. It also introduces a new tariff entry for a coccyx fracture requiring operative treatment.

This amendment requires a review of internal processes and documentation related to armed forces compensation. While no specific compliance deadline is stated beyond the effective date, entities administering or affected by these schemes should ensure their systems and calculations reflect the updated definitions and payment rates by April 6, 2026. Failure to comply with the amended scheme could lead to incorrect benefit calculations and potential disputes.

What to do next

  1. Update internal systems and documentation to reflect revised definitions for FTRS 1997 and NRPS 2011.
  2. Adjust calculations for armed forces independence payment and Motability payments to the new rates of £194.60 and £80.00 respectively.
  3. Review and apply updated tariff levels for mental disorders and fractures, including the new entry for coccyx fractures.

Source document (simplified)

Status:

This is the original version (as it was originally made). This item of legislation is currently only available in its original format.

Statutory Instruments

2026 No. 272

PENSIONS

The Armed Forces and Reserve Forces (Compensation Scheme) (Amendment) Order 2026

Made

4th March 2026

Laid before Parliament

12th March 2026

Coming into force

6th April 2026

The Secretary of State makes this Order in exercise of the powers conferred by section 1(2) of the Armed Forces (Pensions and Compensation) Act 2004(1).

Citation and commencement

  1. This Order may be cited as the Armed Forces and Reserve Forces (Compensation Scheme) (Amendment) Order 2026 and comes into force on 6th April 2026.

Extent

  1. This Order extends to England and Wales, Scotland and Northern Ireland.

Amendment of the Armed Forces and Reserve Forces (Compensation Scheme) Order 2011

  1. The Armed Forces and Reserve Forces (Compensation Scheme) Order 2011(2) is amended in accordance with articles 4 to 10.

Amendment of Article 2

  1. In article 2 (interpretation)—

(a) omit the definition of “the FTRSPS 2010”;

(b) omit the definition of “the NRPSPS”;

(c) insert, in the appropriate places, the following—

“ “the FTRS 1997 ” means the Full-time Reserve Service Pension Scheme 1997, the rules of which are set out in Schedules 1, 2 and 3 to the Reserve Forces (Full-time Reserve Service Pension Scheme 1997) Regulations 2010(3);”;

“ “the NRPS 2011 ” means the Non Regular Permanent Staff Pension Scheme, the rules of which are set out in Schedules 1, 3 and 4 to the Reserve Forces Non Regular Permanent Staff (Pension and Attributable Benefits Schemes) Regulations 2011(4);”;

(d) in the definition of “ill-health pension”—

(i) for “FTRSPS 2010” substitute “FTRS 1997”;

(ii) for “NRPSPS” substitute “NRPS 2011”.

Amendment of Article 14

  1. In article 14 (interpretation of Part 3), paragraph 6(b) omit the words from “following” to “paragraph 6(a)”.

Amendment of Article 24A

  1. In article 24A (award of armed forces independence payment), in paragraph (3), for “£187.45” substitute “£194.60”.

Amendment of Article 24D

  1. In article 24D (payment of armed forces independence payment in respect of Motability), in paragraph (2), for “£77.05” substitute “£80.00”.

Amendment of Article 83

  1. In article 83 (additional bereavement grant), in paragraph (5)—

(a) for “FTRSPS 2010” substitute “FTRS 1997”;

(b) for “NRRSPS” substitute “NRPS 2011”.

Amendment of Schedule 2

  1. —(1) Schedule 2 (modifications for reserve forces) is amended in accordance with this article.

(2) In paragraph 4, in paragraph (6)(b) of the substituted article 35—

(a) for “FTRSPS 2010” substitute “FTRS 1997”;

(b) for “NRPSPS” substitute “NRPS 2011”.

(3) In paragraph 5, in paragraph (1)(c) of the substituted article 39—

(a) for “FTRSPS 2010” substitute “FTRS 1997”;

(b) for “NRPSPS” substitute “NRPS 2011”.

Amendment of Schedule 3

  1. —(1) Schedule 3 (the tariff and supplementary awards), Part 1 (descriptors, tariff levels and amounts – “the tariff”) is amended as follows.

(2) In Table 3 (mental disorders) substitute—

“ (*) Mental disorders must be diagnosed by a registered mental health professional (doctor, psychologist or nurse) working as part of a multidisciplinary mental health team which is overseen by a named consultant clinical lead.”

for—

“(*) Mental disorders must be diagnosed by a clinical psychologist or psychiatrist at consultant grade. ”.

(3) In Table 8 (fractures and dislocations) after item 41 insert—

| “ 41A | 13 | Fracture of coccyx which has required or is expected to require operative treatment and has caused or is expected to cause significant functional limitation beyond 26 weeks. ”. |
(4)  For Table 10 (tariff amounts), substitute—

“ Table 10

Tariff Amounts

| Column (a)

Level | Column (b)

Amount |
| --- | --- |
| 1 | £674,700 |
| 2 | £502,496 |
| 3 | £406,273 |
| 4 | £310,051 |
| 5 | £187,100 |
| 6 | £149,680 |
| 7 | £96,223 |
| 8 | £64,148 |
| 9 | £42,766 |
| 10 | £28,867 |
| 11 | £16,572 |
| 12 | £10,691 |
| 13 | £6,415 |
| 14 | £3,207 |
| 15 | £1,283 ”. |
Louise Sandher-Jones

Parliamentary Under Secretary of State

Ministry of Defence

4th March 2026

Explanatory Note

(This note is not part of the Order)

This Order amends the Armed Forces and Reserve Forces (Compensation Scheme) Order 2011 (S.I. 2011/517)(“ the Principal Order ”), which provides for benefits to be payable to, or in respect of a person by reason of injury, illness or death caused wholly or partly, by service in the regular or reserve armed forces.

Article 4 updates the definitions for the Full Time Reserve Service Pension Scheme 1997 and the Non Regular Permanent Staff Scheme to align with references in other armed forces legislation.  Articles 8 and 9 update references to these schemes accordingly.

Article 5 amends article 14(6) of the Principal Order to allow all decisions following reconsideration to satisfy Condition B.

Article 6 amends article 24A of the Principal Order to increase the amount of the allowance known as “the armed forces independent payment” which is designed to provide financial support to cover extra costs that a recipient of that benefit may incur as a result of a relevant injury. That amount is increased to £194.60 per week.

Article 7 amends article 24D of the Principal Order to increase the amount that may be paid in settlement of liabilities due under an agreement between a claimant and Motability in respect of the hire or hire purchase of a vehicle. That amount is increased to £80.00 per week.

Article 10 amends Schedule 3 to the Principal Order by specifying additional medical professionals who may diagnose mental disorders for the purposes of the descriptors in Table 3. It inserts a new descriptor into Table 8, to make one temporary award permanent, and also amends Table 10 to increase the relevant tariff amounts.

A full impact assessment has not been produced for this instrument as no, or no significant, impact on the private, voluntary or public sectors is foreseen.

(1) 2004 c. 32.

(2) S.I. 2011/517 as amended by S.I. 2011/2552, S.I. 2013/436, S.I. 2014/412, S.I. 2015/413, S.I. 2017/247, S.I. 2018/293, S.I. 2019/440, S.I. 2021/285 and S.I. 2025/307. There are other amending instruments but none is relevant.

(3) These Regulations establish the Full-time Reserve Service Pension Scheme 1997. The Regulations are made under sections 4 and 8 of the Reserve Forces Act 1996 (c. 14) and are not made by statutory instrument. The Regulations were amended by S.I. 2015/568 which inserted Schedule 2, S.I. 2022/323 and S.I. 2023/998, which inserted Schedule 3. There are other amending instruments but none is relevant. Those instruments which are not statutory instruments can be found at www.gov.uk/government/publications/reserve-forces-pension-scheme-regulations. Hard copies can be obtained from Ministry of Defence, AF Remuneration - Pensions, Main Building, Level 6 Zone M, Whitehall, London SW1A 2HB.

(4) These Regulations establish the Non Regular Permanent Staff Pension Scheme. The regulations are made under sections 4, 6 and 8 of the Reserve Forces Act 1996 (c. 14) and are not made by statutory instrument. The regulations were amended by S.I. 2015/568 which inserted Schedule 3, S.I. 2022/323 and S.I. 2023/998, which inserted Schedule 4. There are other amending instruments but none is relevant. Those instruments which are not statutory instruments can be found at www.gov.uk/government/publications/reserve-forces-pension-scheme-regulations. Hard copies can be obtained from Ministry of Defence, AF Remuneration - Pensions, Main Building, Level 6 Zone M, Whitehall, London SW1A 2HB.

Source

Analysis generated by AI. Source diff and links are from the original.

Classification

Agency
Various UK Agencies
Published
April 6th, 2026
Instrument
Rule
Legal weight
Binding
Stage
Final
Change scope
Substantive

Who this affects

Applies to
Employers
Geographic scope
UK-wide

Taxonomy

Primary area
Pensions & Retirement
Operational domain
Legal
Topics
Armed Forces Compensation

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