Armed Forces Pension Scheme (AFPS)

Armed Forces Pension Scheme (AFPS) Explained

The AFPS is the occupational pension for UK armed forces personnel. You're enrolled automatically from the start of your service and you pay nothing into it — the cost is met from the public purse.

There have been three versions, and which one you're on matters. AFPS 15 is the current scheme. Everyone who joined from 1 April 2015 is on it, and anyone who started on AFPS 75 or AFPS 05 was moved onto it for future service in April 2022, keeping whatever they'd already built up in the older scheme.

AFPS 15 is a career average scheme, so your pension is based on what you earned across your whole career rather than your final salary. The older schemes worked differently, which is why two people who left in the same year can end up with quite different numbers.

There's also cover beyond retirement income: early departure payments, ill-health retirement, and pensions for your family if you die in service.

Who is eligible?

Everyone serving. Regulars in the Royal Navy, British Army and Royal Air Force are enrolled automatically from their first day, and reservists can be too, depending on their commitment and length of service.

You don't need a minimum length of service to be in the scheme. Length of service affects what you eventually get, and when you can take it, rather than whether you're a member.

Ill-health retirement and family benefits sit inside the same scheme, so they're covered without a separate application.

What benefits does this provide?

• Pension Benefits: Provides a regular income upon retirement, based on rank, length of service, and final salary or career average earnings, depending on the scheme version.
• Lump Sum Payment: A tax-free lump sum, but how it works depends on your scheme. AFPS 75 pays an automatic lump sum of three times the annual pension. Under AFPS 15 there is no automatic lump sum with the deferred pension — you can give up some pension to create one.
• Early Departure Payment (EDP 15): If you leave between the ages of 40 and 60 with at least 20 years' Regular service, you get monthly payments until age 55 (inflation-adjusted after that) plus a tax-free lump sum of 2.25 times your deferred pension. You can surrender the lump sum for a higher monthly income.
• Ill-Health Benefits: Offers immediate pension benefits if discharged due to medical reasons, with the amount depending on the severity of the condition.
• Dependents' Benefits: Provides financial support to eligible dependents, including a pension for spouses, civil partners, and eligible children in the event of the member's death.
• Index-Linking: Ensures pensions are adjusted annually in line with inflation, maintaining the purchasing power over time.

How do I apply?

• Check Eligibility: Ensure you meet the criteria for the Armed Forces Pension Scheme (AFPS) based on your service length and type.
• Gather Documents: Collect necessary documents such as your service number, National Insurance number, and any previous pension statements.
• Complete Application Form: Obtain and fill out the appropriate AFPS application form. Forms can be found on the Ministry of Defence website or through your unit's administration office.
• Submit Application: Send the completed form and required documents to Veterans UK, either online or via post. Ensure all information is accurate to avoid delays.
• Await Confirmation: After submission, Veterans UK will process your application. You will receive confirmation and details of your pension benefits.
• Contact Veterans UK: For assistance or queries, contact Veterans UK via their helpline or email for guidance throughout the process.

Common questions

Learn More

• GOV.UK armed forces pensions: Scheme guides, claim forms and contact routes. gov.uk/guidance/pensions-and-compensation-for-veterans
• GOV.UK understanding your pension: Which service counts, and at what age each scheme pays. gov.uk/guidance/understanding-your-armed-forces-pension
• Discover My Benefits: Your service's own summary of AFPS 75, 05 and 15. discovermybenefits.mod.gov.uk/army/your-pay-and-pension/armed-forces-pension-scheme-15
• Death of a scheme member: Survivor benefits and how they are claimed. gov.uk/guidance/death-of-an-armed-forces-pension-scheme-member
• Forces Pension Society: Independent guidance on armed forces pensions. forcespensionsociety.org