The Armed Forces Compensation Scheme (AFCS) is the official compensation package for members of the Armed Forces. It is designed to provide compensation, irrespective of fault, across the full range of circumstances in which illness, injury or death may arise as a result of service. The legislation replaced the previous arrangements under the War Pensions Scheme and the attributable elements of AFPS 1975.
The Scheme covers all Regular (including Gurkhas) and Reserve personnel whose injury, ill health or death is caused by service since 6 April 2005. For the first time compensation claims from serving personnel can be considered. Tax free lump sum awards for injury can be paid in service.
Ex-Members of the Armed Forces who served prior to 6 April 2005 or who are receiving a current War Disablement Pension or War Widows Pension are not affected by the scheme. They will continue to receive their War Pension or War Widows pension and any associated benefits in the normal way. The new scheme applies for deaths, injury or illness sustained on or after 6 April 2005.
Want to know more?
You can find further information about AFCS and also the AFPS 1975 and 2005 on the SPVA website below. There are comparison tables available, detailed framework documents and a Q&A brief amongst other useful information.