Armed Forces: Pay

Defence written question – answered on 1st February 2008.

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Photo of Gerald Howarth Gerald Howarth Shadow Minister (Defence)

To ask the Secretary of State for Defence what the (a) net paybill cost and (b) net percentage increase to the paybill was of implementing the Armed Forces Pay Review Body recommendations in each financial year from 1996-97 to 2007-08.

Photo of Derek Twigg Derek Twigg Parliamentary Under-Secretary (Ministry of Defence) (Veterans)

Figures showing the net pay bill costs and the net percentage increases arising from the implementation of the recommendations of the Armed Forces' Pay Review Body (AFPRB) for the years 1999-2000 to 2007-08 are set out in the following table.

Net pay bill cost increase (£ million) Net pay bill percentage increase (percentage)
1999-2000 202,000 3.50
2000-01 260,000 4.60
2001-02 221,686 3.73
2002-03 236,347 3.94
2003-04 266,000 4.30
2004-05 194,985 2.89
2005-06 216,056 3.10
2006-07 207,924 2.99
2007-08 274,681 3.90

The figures represent cost estimates which were produced annually to inform the deliberations of the AFPRB. They cover pay, specialist pay, those allowances that fall within the remit of the AFPRB, charges, employers' national insurance contributions and superannuation charges adjusted for past experience. The figures are net, taking into account the effects of increased receipts from food and accommodation charges. The figures do not take account of other changes to the armed forces' pay bill arising from such factors as incremental progression and promotion.

Corresponding net pay bill figures for the implementation of the armed forces' pay award, for the years 1996-97 to 1998-99, have not been retained.

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