Armed Forces Compensation Scheme

Who is it for?
The Scheme covers all Regular (including Gurkhas) and Reserve personnel whose injury, ill health or death is caused by service on or after 6 April 2005.

Who pays it?
Veterans Agency
Norcross
Blackpool
FY5 3WP

Helpline: 0800 1692277

Which leaflet? And how is it claimed?
AFCS01 Claim Form  from Veterans Agency (also available on-line)

What are the age limits?
None

National Insurance based?
No – Lump sum payment based on tariff 

Means tested?
No.

How long does it last?
For  life if assessed as 30% -100% disabled.

What is effect on other benefits?
May count as income/capital  in full or part- variable

Is it taxable?
No if paid in retirement or as lump sum. Yes if Guaranteed Income Payment  paid to partner.

Increases for dependants?
Dependant children will also qualify for GIP up to age17 or beyond if in full-time education or if unable to support themselves due to a mental or physical disability that has been diagnosed before they are 17.

Payable if in EU or other?
Yes

Points to watch
Don’t confuse with normal Armed Forces Pension, which is an occupational pension and treated as such when benefits etc calculated.  The previous War Pension Scheme covers injuries prior to AFCS introduction. Can be paid to serving members of the Forces.


The A-Z of Benefits 2009 was compiled by Gary Vaux and Community Care Inform