Disregard compensation paid to injured service personnel from UC calculation
Introduce legislation to disregard any payments made to ex-service personnel in the form of injury or income compensation from Universal Credit (UC) calculations, no matter in which manner this payment has been paid out (lump sum or ongoing payments) indefinitely.
Signatures
12,529
signatures
Government response threshold (10,000) · 10,000/10,000 · reached
Debate threshold (100,000) · 12,529/100,000
- 27 APR 2026Government respondedMinistry of DefenceGovernment reply
AFCS lump sums count as personal injury payments, ignored as capital for 12 months to allow trust or annuity arrangement. Once in trust or annuity they are disregarded indefinitely.
Read full response - 05 APR 202610,000 signatures reachedEligible for a government response
- 26 FEB 2026Petition opened for signaturesCreated by Lucy Tattingham
Background
Some service members and ex-service personnel who are permanently injured lose Universal Credit after 12 months because their Armed Forces Compensation Scheme (AFCS) payments, and War Pensions are treated as capital. We believe this is disproportionate, forcing some families to spend money meant to cover long-term injury, illness, or loss of independence just to survive.