Question to the Ministry of Defence:

To ask the Secretary of State for Defence, what steps he is taking to increase awareness that military compensation should not be treated as income in means tests for statutory support.

The Ministry of Defence and the Department for Work and Pensions (DWP) collaborate closely to ensure the current practice of how their respective schemes and benefits work together, and any proposed changes, are communicated and considered. Advice is available on gov.uk for those seeking further guidance - https://www.gov.uk/guidance/veterans-uk-contact-us

The DWP already applies different treatment for Armed Forces compensation payments across the benefit system in comparison to other groups. This reflects the nature of the payments to compensate those who have made significant sacrifices for our country.

For example, Universal Credit fully disregards War Pensions and Armed Forces Compensation payments. This means that payments under these Schemes do not impact the eligibility or amount of benefit to which individuals might be entitled. Other social security benefits may partially or fully disregard Armed Forces-related compensation payments. This will be dependent on the type of benefit being considered, as different benefits have different criteria.