SerpApi.Org
Military pensioners received a record number of six-figure retirement payouts in 2026 following years of high inflation, figures show.
Almost 150 Armed Forces retirees received more than £100,000 annually in April this year, a six-fold increase since 2022, data obtained under the Freedom of Information Act revealed.
The number drawing more than £50,000 a year quadrupled to nearly 8,000 over the same period, driven by years of soaring inflation that boosted pension payouts by 24pc.
Britain’s annual public sector pensions bill reached a record £56bn in 2025-26, according to the latest Treasury figures.
The Armed Forces Pension Scheme provides a guaranteed, inflation-linked income in retirement and pays more than 470,000 pensions a year.
Payouts were previously based on a member’s final salary, but are now based on their average wage after major reforms began in 2022 to cut spiralling costs.
Since then, the number of military pensions in excess of £50,000 increased from 2,078 to 7,835. The number of payouts worth more than £100,000 also rose from 25 to 142 during the same period.
The Ministry of Defence (MoD) refused to publish how many pensions were above £150,000 a year for privacy reasons, but confirmed it was fewer than five.
In May, The Telegraph revealed that 23 retired civil servants had a pension of more than £150,000 a year.
The MoD said that earnings growth across the Armed Forces and the retirement of high-earning staff with long service records had increased the number of large retirement payouts.
Since 2022, all public sector pensions have increased significantly after retirees were handed rises of 10.1pc in April 2023 and 6.7pc the following year.
As a result, some 3,187 NHS retirees receive pensions of more than £100,000 a year, along with 263 former civil servants and 183 retired teachers.
Unlike other public sector schemes, members of the scheme are not required to contribute a percentage of their pay, and receive 73.5pc of their wage in employer pension contributions.
All workers, from front-line soldiers and senior military leaders to administration and logistics workers, are automatically enrolled from the day they join and they can retire with a full pension at age 60 if they are still in post. If they have already left, they must usually wait until state pension age for an unreduced payout.
However, interim payments are possible for those with more than 20 years’ service, provided they are aged at least 40.
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The Forces Pension Society, a not-for-profit group that provides pension support, said that the Armed Forces pension scheme was “a necessary investment in national security, not an overhead”.
Baroness Altmann, a former pensions minister, said members of the Armed Forces deserved “top-notch” payouts in retirement.
She added: “The Armed Forces and security services put their lives on the line for us and I have long felt that we do not treat them well enough while they serve.
“Their accommodation is often worse than we provide for refugees and their family lives are disrupted time and again. They are not paid massive salaries either.
“They’re also not allowed to strike, whereas other parts of the public sector have used industrial action to gain better pay and therefore better pensions.
“The country owes Armed Forces retirees a top-notch pension and it’s up to all of us to ensure we don’t short-change those who fight for our freedom.”
An MoD spokesman said: “We are incredibly proud of the work our Armed Forces do to keep this country safe, and we make no apologies for ensuring those who serve receive a pension that reflects their dedication and sacrifice.
“As with all public sector pension schemes, we keep costs under regular review to ensure they remain fair to both our servicemen and women and the taxpayer.”
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