Resettlement Grants assist those leaving the regular armed forces to resettle into civilian life after completing a substantial period of service. A Resettlement Grant is not a pension.
It is a tax-free lump sum paid to regular service personnel, who, at the time they leave the services, are not eligible for Early Departure Payment (EDP) benefits, an Immediate Pension or ill health award (or any other immediate pension benefits) and they meet Resettlement Grant qualification criteria.
When you leave the regular armed forces, you will be entitled to a lump sum payment provided you:
• have served for at least 12 years (from date of entry).
• are not entitled to an EDP, an ill-health award or an immediate pension from a legacy pension scheme.
• have not previously received a Resettlement Grant.
• are not a member of the Reserve Forces.
The Resettlement Grant is currently £11,651 tax free lump sum.
Only 1 Resettlement Grant is awarded, for those who have service in more than one scheme. If personnel are re-employed after leaving, they may have to re-pay some or all of the grant. See the re-employment booklet for more details; Armed forces and reserve pension schemes: Re-employment (publishing.service.gov.uk)
If you would like further information on the Resettlement Grant and how to apply for it, then please feel free to contact the White Ensign Association; www.whiteensign.co.uk
All the information above can be found on the GOV UK website; Armed forces pensions - GOV.UK (www.gov.uk)