Poppyscotland and the Royal British Legion calls for an end to unjust benefits system in new campaign
Poppyscotland and the Royal British Legion launch "Credit their Service", a campaign demanding an end to the unfair treatment of military compensation as income by welfare benefits, which results in veterans and their families missing out on thousands of pounds a year.
150,000 UK Armed Forces veterans and their families receive compensation awarded by the government for the pain and loss they endured in Service. 12,000 of these live in Scotland.
This compensation is unjustly considered income when determining eligibility for many benefits, while compensation awarded by courts, such as personal injury or medical negligence compensation, is exempt.
Pension Credit
Pension Credit offers a lifeline for those of pensionable age who lack National Insurance contributions or an adequate occupational pension.
One million veterans were over 65 in the 2021 Census, and an estimated 145,000 were eligible for Pension Credit. By treating military compensation as income, some of our poorest veterans and their families are pushed beyond the threshold for Pension Credit support, missing out on thousands of pounds of support that civilians can access.
Pension Credit does not consider any compensation awarded by a court, such as personal injury, as income.
Local benefits
This problem extends beyond national support and includes benefits paid out by local Councils, including Housing Benefit, Council Tax Support, Discretionary Housing Payments, and Disabled Facilities Grants.
Of the thirty councils that responded to a Poppyscotland Freedom of Information Request, only 10 had a policy to exempt military compensation from all means tests.
Key Stats
- 150,000 veterans and their families receive compensation awarded by the government for the pain and loss they endured in service to HM Armed Forces.
- Across the UK, one million veterans are over 65, and an estimated 146,000 were eligible for Pension Credit in 2021.
- Only 10 councils in Scotland have a policy to exempt military compensation from means tests.
In 2011, the UK Government pledged the Armed Forces Covenant, a promise which states that those who serve or have served should ‘face no disadvantage compared to other citizens in the provision of services’.
Poppyscotland - RBL believe that means testing of military compensation breaches this promise.
We call on Scottish councils to use their discretionary powers to make sure that they do not treat compensation as income for local support.
We also ask the Scottish Government to work with the UK Government to amend benefit regulations, guaranteeing that no member of the Armed Forces community has their compensation treated as income by benefits.
Have you been impacted by unfair means tests?
We want to hear from people that have been disadvantaged under the current system. If you have applied for any benefits in Scotland while receiving Armed Forces compensation, please get in touch.
Please fill out the short survey below telling us about your experiences. Alternatively, you can email us at: publicaffairsscotland@poppyscotland.org.uk.
