---

Armed Forces Pay Review Body

The 2007 Report of the Armed Forces Pay Review Body has now been published.  I wish to express my thanks to the Chairman and members of the Review Body for their Report.  I am pleased to confirm that the AFPRB’s recommendations are to be accepted in full, with implementation effective from 1 April 2007.  In line with the AFPRB recommendations, the basic military salary for officers and all other ranks will increase by 3.3 per cent.  In addition, a restructuring of Pay Range 1 will see those on the lowest pay level, some 13,000 servicemen and women, receive a total pay increase of 9.2 per cent.  A further 6,000 service personnel on the next lowest level will receive 6.2 per cent.  The rates of Specialist Pay (including Flying Pay, Submarine Pay, Diving Pay and Hydrographic Pay) will also increase by 3.3 per cent.  The Government have also accepted the AFPRB’s recommendation to introduce additional targeted Financial Retention Incentives for Royal Marine and Infantry Other Ranks, and an extension to the Aircrew Financial Retention Incentive, in order to meet specific challenges in retaining our experienced people.  Also, the AFPRB have confirmed their support for the introduction of the tax-free Operational Allowance, which I announced to the House on 10 October 2006, Official Report, column 175, and has so far been paid to around 31,000 servicemen and women who have served in Iraq, Afghanistan and the Balkans; and the removal of the 100 day initial qualifying period for the Longer Separation Allowance. Together these measures demonstrate this Government’s commitment to provide special recognition for those serving their country on operations. Copies of the Armed Forces Pay Review Body Report are available in the Vote Office and the Library of the House.