Thousands of UK military veterans are being told they need to repay up to tens of thousands of pounds after an administration error meant their pensions were overpaid.
Members of all branches of the armed forces are entitled to an Armed Forces Pension Scheme (AFPS) payment in retirement without having to make contributions during their career, with the scheme funded by taxpayer cash.
Like other employees paid by the state – like civil servants and teachers – their pensions are defined benefit (DB), meaning that they don’t have an individual savings pot, but instead are entitled to a set income each year in retirement, depending on the length of their career and their salary.
But military pensions watchdog, the Forces Pension Society, says they are receiving countless enquiries from members who have received a letter from the AFPS administrator, Equiniti, telling them they have been overpaid and must give some money back.
In the letter, Equiniti says it has been told by the Ministry of Defence (MoD) to “seek recovery” of overpayments that have recently been discovered – in some cases totalling tens of thousands of pounds.
