LGBT Veterans: Financial Recognition Scheme

Wednesday 30th April 2025 Lords Chamber

Question

15:30

Asked by

[Lord Lexden]

To ask His Majesty’s Government what progress they have made in implementing the LGBT Veterans Financial Recognition Scheme announced on 12 December 2024.

[The Minister of State, Ministry of Defence (Lord Coaker) (Lab)]

My Lords, I wonder if I might digress slightly. There are times when we answer Questions at the Dispatch Box that are about issues of real social change that has been brought about. I congratulate the noble Lords, Lord Lexden and Lord Cashman, who is not in his place—

[Noble Lords]

He is!

[Lord Coaker (Lab)]

I beg his pardon. I also congratulate the noble and learned Lord, Lord Etherton, who I know is not well. If it had not been for his report, we would not be where we are today. Sometimes, we should stop and reflect on what many people in this Chamber have achieved. The noble and learned Lord, Lord Etherton, and the noble Lords, Lord Cashman and Lord Lexden, are brilliant examples of that.

The financial recognition scheme was launched on 13 December 2024 and, as of 28 April, 1,471 people had registered an interest in applying, with 990 applications submitted. I am pleased to confirm that the first dismissed or discharged payments of £50,000 each were sent on 2 April to eight applicants who are terminally ill or have health challenges. Regarding impact payments, the noble Lord, Lord Paddick, has been appointed as the independent panel chair, and we expect to announce the remaining members shortly.

[Lord Lexden (Con)]

My Lords, is it not imperative that we never forget the many brave members of our armed services whose careers were destroyed and whose lives were broken before the year 2000, simply because they were LGBT? Is not the financial recognition scheme of the greatest importance, as a result of work begun under the last Government and completed by this one? Following the Minister’s remarks, is it not essential that payment is made as rapidly, effectively and generously as possible to LGBT veterans, since so many are now old and frail, and often in financial hardship as a result of the state’s wrongdoing years ago?

I join the Minister in paying tribute to the work from which all this derives—namely, the superb and comprehensive report two years ago by the noble and learned Lord, Lord Etherton, who, sadly, cannot be in his place among us today.

[Lord Coaker (Lab)]

I fully support everything that the noble Lord said in a very moving way. As I said at the beginning, there are times when what we are all trying to do—in this Chamber, across this Parliament and beyond—is right a historic wrong. The noble Lord is right to point out that this was a slur on our country and a disgrace, but all we can do now is try to make sure that we put it right. He is quite right to say that, in order to do that, we need to work as quickly as possible. That is why we have started with those applicants who are unwell, and we are working through the applications as quickly as possible.

[Lord Cashman (Non-Afl)]

My Lords, we deliver best and we do our best by working together, and this is an example. I congratulate the Government and the previous Government on adopting all the recommendations of the Etherton report. I will ask the Minister, who is my friend and a stalwart advocate and supporter, two questions. What were the technical reasons just before Easter that resulted in the promised 18-week update for applicants being delayed? This has caused serious concerns. Finally, he has probably already addressed this, but how many applications have been received and acknowledged as well as processed?

I hope the House will join me in placing on record the huge debt of gratitude that we, and so many others, owe the noble and learned Lord, Lord Etherton. We will deeply miss him and his exemplary commitment to public service, which has benefited so many.

[Lord Coaker (Lab)]

I thank the noble Lord, Lord Cashman, and join him in his remarks about the noble and learned Lord, Lord Etherton.

Both the previous Government and this Government have tried, and are trying, to right this historical wrong as quickly as possible. I tried to give an answer to the noble Lord’s specific question in my opening remarks. As I say, as of 28 April, 1,471 people had registered an interest in applying, with 990 applications submitted.

On the point that the noble Lord makes about the 18-week update, I do not know the full details of the technological problem, but it is a technology problem that we are seeking to put right, which has meant that the point about the update appears on the website. I reassure him and those who listen to and read our deliberations that that does not mean that the process is in any way held up. It is a technological glitch that we are seeking to put right as quickly as possible, give the hurt that it causes.

[Baroness Humphreys (LD)]

My Lords, I add my thanks to the noble Lords and the noble and learned Lord for the fantastic amount of work that they have done in getting this on the agenda.

Following conversations with female veterans, I have two short questions for the Minister. For those who served before the 1960s or 1970s, there are fears that their records may have been lost or destroyed. How are they to have their claim substantiated? Are paper copies of claim forms now available for those who may not be computer literate?

[Lord Coaker (Lab)]

I will take away that question about female veterans. However, let me read out—although I do not normally do this—one important thing that may help. My briefing tells me that the financial recognition scheme is a sophisticated scheme that ensures that all eligible applicants—including, obviously, females—will receive appropriate financial recognition despite potential limitations in documentation. The scheme operates under a reverse burden-of-proof basis, meaning that, unless the MoD has any contradicting evidence, the testimony of the veteran will be accepted. I think that is a crucial point to make to the noble Baroness.

[Baroness Goldie (Con)]

My Lords, it is a vital condition attaching to payments under this scheme that they are exempt from income tax and, for DWP purposes, are to be disregarded in the calculation of means-tested benefits. According to Fighting With Pride, some veterans who, happily, have started receiving the payments, have reported that their benefits have been stopped on receipt of the funds. Will the Minister undertake as a matter of urgency to engage with his ministerial colleagues in DWP to ensure that that improper action ceases immediately?

[Lord Coaker (Lab)]

I certainly will take that up. As the noble Baroness has said, these payments are exempt from income tax and from benefits. I am disturbed to hear from her that that does not appear to have happened in certain cases. My officials will read this, but I shall certainly take that back to the MoD and follow it up. If I write to the noble Baroness with a reassurance about what has or has not happened and put a copy in the Library, I think that will be helpful.

[Lord Hayward (Con)]

My Lords, I thank the Minister for his generous comments on all those concerned. In relation to the closing date for applications, which is given as December 2026, are the Government making efforts to publicise the availability of the funds and the need to make applications by December 2026? If not, could the Minister please go away and look at this and consider ways in which to ensure that all potential applicants are aware of their right to do so?

[Lord Coaker (Lab)]

We are looking at how we publicise the scheme, but of course we can always do more. Let us reflect on the noble Lord’s question and see whether there is more that can be done to publicise the scheme. I reassure people, including anybody who may be seeking to apply for this, that it is important to recognise that the application does not have to have been agreed by then. An application can be made right up to the last day, but it is important that it is made by then. I will certainly take away the point about publicity and see whether more can be done.

[Lord Foulkes of Cumnock (Lab Co-op)]

My Lords, this is not the only compensation scheme where there appears to be delays in payments. It is happening with the infected blood scheme and with the Post Office compensation. It appears that, sometimes, Ministers’ instructions are not being carried out by civil servants as quickly as they ought to be. Can the Minister have a word with his colleagues in the Cabinet Office to see whether there is something that can be done to make sure that all compensation payments are paid more quickly?

[Lord Coaker (Lab)]

My noble friend makes a really good point, but this scheme is not a compensation scheme; it is a scheme to recognise the hurt that was caused to people in the period from 1967 to 2000. Notwithstanding that, it is an important point that needs to be made. As I said to the noble Lord, Lord Lexden, we will certainly do all we can to ensure that these payments are made as quickly as possible. That is really important, and it is the least that the state can do in recognition of the horror that many people had to go through.