Most troops to get 4.5% pay rise, but service accommodation charges also going up

The majority of Armed Forces personnel will receive a 4.5% pay rise from April 2025, under new measures announced by the Government.

The new pay award follows the retention announcement in November last year.

Starting salaries are also going up. Basic pay for trained Other Ranks will rise to around £26,334 – an increase of about £1,200 for 7,800 personnel.

• Taste-testing a British Army ration pack – and here's what you'll find inside
• Military housing: Govt pledges urgent repairs and more freedom for service families
• Exclusive: More than 3,500 personnel file discrimination claim against MOD

Officers starting out will see their annual pay rise by roughly £1,500.

The increase applies to almost everyone below two-star rank, with senior officers receiving a smaller rise of 3.75%.

The Government says it has accepted the recommendations of the Armed Forces' Pay Review Body in full.

"Today's above-inflation pay award recognises their dedication and underlines this Government's commitment to renew the nation's contract with those who serve," Defence Secretary John Healey said.

But at the same time, the cost of Service Family Accommodation is going up by 7.6%.

Rental charges for Single Living Accommodation are also increasing, with the highest-grade rooms rising by the same percentage.

Lower grades will see smaller rises or no change.

New targeted payments are also being introduced to improve retention in key areas.

Royal Navy Catering Services personnel will receive bonuses of £10,000 or £15,000, depending on their length of service and promotion.

Medical specialists will see the value of the 'Golden Hello' increase to £100,000 in certain roles.

This follows a wider effort by the Ministry of Defence to tackle long-standing recruitment and retention issues across the services.

"This Armed Forces pay award continues to demonstrate our commitment to our people. It ensures that those who work so hard for our safety and security are supported," Admiral Sir Tony Radakin, Chief of the Defence Staff, said.

Further payments for engineers, cyber specialists and other roles are also being increased, alongside changes to allowances and accommodation charges across the board.

The Government says the overall cost of the package will be factored into wider defence planning as part of its ongoing Strategic Defence Review.