In October 2025 we reported that Public Service pensions were to be increased by 3.8% in line with the annual increase in the Consumer Price Index (CPI).
Following this announcement, the government always issues a formal “Public Service Pension Scheme indexation and revaluation” statement.
The statement confirms two figures: the Consumer Price Index (CPI) which is used to increase all Armed Forces pensions in payment and increases to deferred pensions (AFPS75/05/15); and the
Average Weekly Earnings (AWE) is the figure used in AFPS15 to increase the value of the pension you’ve built up in previous years while you’re still serving.
Consumer Price Index (CPI) – Like other Public Service pensions, Armed Forces pensions go up each year in line with the CPI. This helps them keep pace with the rising cost of living so their value is maintained.
From 6th April 2026 the pension will be increased by 3.8%, in line with the annual increase in the CPI up to September 2025, except for those public service pensions which have been in payment for less than a year, which will receive a pro-rata increase.
For veterans the CPI increases come into payment at the ages shown in the table below, unless the veteran was medically discharged (in which case the increases are immediate) and are backdated to when an individual left the Armed Forces:
| AFPS 75 | AFPS 05 | AFPS 15 |
|---|---|---|
| Age 55 for pensions in payment or 60/65 if deferred | Age 55 for immediate pension or age 65 if pension is deferred | Age 60 for immediate pension or State Pension Age (67/68) if deferred. |
Average Weekly Earnings (AWE) – Separately and in addition, AWE increases the value of your AFPS15 pension each year while you’re still serving.* The AWE increase for AFPS15 from April 2026 has been confirmed as 4.8%. The MOD online calculator is updated each year to include the latest AWE adjustments for those in service.
*AWE shows the average weekly pay of employees each month. It’s worked out using information from about 9,000 employers in the UK It tracks how pay changes over time and is used to update the value of AFPS15 pension benefits from previous years.
Source © UK Parliament 2026 Figures correct as at 03/25
