The Armed Forces pay award for 2026 includes a 3.6% increase in basic pay, alongside changes to specialist payments and accommodation charges. For personnel and their families, understanding how these fit together is more useful than looking at the headline percentage alone. This briefing explains the announcement and provides worked examples to help put the figures into context.
What does a 3.6% increase look like?
The Labour Government has accepted the independent Armed Forces’ Pay Review Body’s recommendations in full. The basic pay increase takes effect from 1 April 2026, with the award backdated to that date. Starting salaries will reach £27,282 for junior non-commissioned personnel and £35,926 for junior officers.
To illustrate the increase, the table below applies 3.6% to three example annual basic salaries. These are calculations, rather than official salaries for particular ranks.
| Previous annual basic salary | Annual increase | New annual basic salary | Monthly increase before deductions |
|---|---|---|---|
| £30,000 | £1,080 | £31,080 | £90 |
| £40,000 | £1,440 | £41,440 | £120 |
| £50,000 | £1,800 | £51,800 | £150 |
These figures show the gross increase. The amount reaching someone’s bank account will depend on their individual deductions and circumstances. A £120 monthly increase in basic pay should therefore not be treated as £120 of additional take-home pay.
How does backdating work?
Backdating means the new basic pay rate applies from April, even though the announcement was made in June. Any calculation of arrears needs to reflect the difference between the old and new rates over the relevant period.
For example, someone whose annual basic salary remained at £40,000 throughout the period would have a gross increase equivalent to £120 per month. If three complete months were outstanding, that would produce £360 in gross basic-pay arrears. This is an illustrative calculation, not a confirmed payment schedule.
What changes beyond basic pay?
The award also raises recruitment and retention payments, specified specialist skills payments and compensatory allowances by 3.6%. The listed skills payments include cyber, engineering, aircrew and nuclear supplements. The Volunteer Reserves Training Bounty will increase by the same percentage. Eligibility for each payment remains important: the announcement does not mean everyone receives every supplement.
For anyone receiving additional payments, it is useful to check each payslip entry separately. Applying 3.6% to the total amount previously paid into a bank account will not give a reliable estimate of the new payment.
What about accommodation charges?
The accepted recommendations include higher charges for some military accommodation. Service family accommodation in Bands A to F will have a 3.8% rental increase, with no increase for Bands G and below. Single living accommodation charges will rise by 3.8% for Grade 1, 2.5% for Grade 2 and 1.3% for Grade 3. Grade 4 and furniture charges will remain unchanged. The accommodation increases will not be backdated.
As a worked example, a rental charge of £400 per month increasing by 3.8% would rise by £15.20 to £415.20. This is not an official accommodation rate, but it demonstrates why households should consider changes to charges alongside changes to pay.
Putting the announcement into perspective
The most useful approach is to build a personal picture: the new basic salary, any eligible additional payments, applicable accommodation charges and the deductions shown on the payslip. That makes it easier to distinguish recurring monthly income from a one-off arrears payment.
Fair pay is an important part of recognising military service. Understanding the detail also helps personnel and families assess what an announcement means in everyday terms, from planning household spending to checking that the relevant changes appear correctly.
Read the full parliamentary statement and pay recommendations.
