Charities urge LGBT veterans to claim compensation before scheme closes

Charities are warning that hundreds of LGBT veterans could lose out on compensation not because they are ineligible, but because they have not come forward in time. The LGBT Financial Recognition Scheme, set up to address the damage caused by the Armed Forces ban on LGBT personnel, will stop taking applications at 11:59pm on 12 December 2026.

The scheme covers veterans and serving personnel who served between 27 July 1967 and 11 January 2000 and were harmed by the ban. It offers a flat £50,000 payment to people dismissed or administratively discharged solely because of their actual or perceived sexual orientation or gender identity, plus impact payments of between £1,000 and £20,000 depending on the harm assessed.

Campaigners say the greatest barriers are awareness, bureaucracy and the lasting trauma of the original ban. Many older veterans never told families or comrades what happened to them, while others may struggle with health problems, the stress of reliving past abuse, or the paperwork needed to prove what they endured. That leaves a finite window for people who may have waited decades for recognition.

The government launched the scheme on 13 December 2024 after the LGBT Veterans Independent Review, led by Lord Etherton, heard evidence from 1,145 veterans and made 49 recommendations. Ministers apologised in July 2023 for the treatment of LGBT veterans and later accepted the intent of all 49 recommendations. They also set aside up to £75 million to recognise the discrimination and detriment suffered under the ban.

Latest official figures show 1,733 cases had been decided and £52,600,500 had been paid out. Stonewall said there had been 1,275 applications and £28 million paid, and warned that if claims continued at the current pace it could take more than 17 years to process everyone who has applied. Fighting With Pride has said the government had been prioritising older veterans and those with serious health conditions, but the charity has also raised concerns about rejected applications and backed legal action over some decisions.

The wider problem is time. The ban on LGBT service ended on 12 January 2000, but the consequences are still being felt by veterans who served under it. After the deadline passes, those who have not applied will no longer be able to claim through the scheme, closing off a rare route to recognition, apology and payment for a wrong that lasted more than three decades.