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ChildcareMilitaryLatest NewsPay settlementsRetention of staff

Retention payments to tackle decline in armed forces

by Rob Moss 22 Nov 2024
by Rob Moss 22 Nov 2024 Stephen Barnes/Shutterstock
Stephen Barnes/Shutterstock

The Ministry of Defence has announced new retention payments for thousands of service personnel in what it describes as ‘decisive action’ to tackle the long-term decline in Armed Forces numbers.

It said that around 5,000 eligible aircraft engineers will, from April 2025, receive £30,000 when they sign up for an additional three years’ service while, from January, a new £8,000 retention payment will be given to around 12,000 eligible Army privates and lance corporals.

Minister for veterans and people, Alistair Carns, said: “This government is on a drive to boost military morale and we are taking decisive action to stop the long-term decline in Armed Forces numbers, having inherited a recruitment and retention crisis – with targets missed every year for the past 14 years.

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“We will always stand up for our Armed Forces and these retention payments help recognise the extraordinary sacrifices service personnel make to defend the UK and keep us all safe.”

The announcements come as part of a drive to boost morale in the military. Earlier this week defence secretary John Healey extended a scheme which helps service families in the UK pay for wraparound childcare to those based abroad.

Hundreds of families will be able to claim up to 20 hours per week of funded before- and after-school childcare, saving around £3,400 a year. The expansion is expected to cost £3m over the next five years.

Healey said: “We are on a drive to boost military morale and deliver on our manifesto promise to renew the nation’s contract with those who serve – from establishing a strong, independent Armed Forces Commissioner to providing the largest pay rise for personnel in decades.

“We ask our Armed Forces to make extraordinary sacrifices to defend UK interests and keep us all safe. We recognise the commitment of service families based abroad and that is why we are stepping up support, with the expansion of wraparound childcare set to save families thousands of pounds a year.”

The government previously announced it has slashed recruitment red tape to make the process more straightforward for those wanting to join the military. One hundred “unnecessary” medical policies that stopped some sufferers of hay fever, eczema, and acne have been scrapped.

It comes after the government awarded an average 6% pay rise for service personnel with new recruits receiving a 35% increase. It means all members of the Armed Forces receive at least the national living wage for the first time.

Also this week, the Armed Forces Commissioner Bill passed its second reading in the House of Commons. The legislation delivers a manifesto commitment for the first ever Armed Forces Commissioner, a strong, independent voice for personnel and their families with powers to hold government and the army, air force and navy to account.

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Rob Moss

Rob Moss is a business journalist with more than 25 years' experience. He has been editor of Personnel Today since 2010. He joined the publication in 2006 as online editor of the award-winning website. Rob specialises in labour market economics, gender diversity and family-friendly working. He has hosted hundreds of webinar and podcasts. Before writing about HR and employment he ran news and feature desks on publications serving the global optical and eyewear market, the UK electrical industry, and energy markets in Asia and the Middle East.

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