UPDATED 12/04/10 - Follow the required weblinks to the Factsheet or Application

The Government is committed to end any disadvantage that armed service causes for our service personnel and their service families. This commitment was set out in the Government Command Paper The Nation’s Commitment: Cross-Government Support to our Armed Forces, their Families and Veterans (Cm 7424) published in July 2008 (MoD website).

The principal Department for Work and Pensions (DWP) commitment is that family dependents of service personnel should not be put at a disadvantage when claiming benefits and allowances just because they are members of a service family.

For example, spouses and civil partners of service personnel posted overseas may have difficulty finding work and paying National Insurance (NI) contributions. This may affect their entitlement to some state benefits, such as Employment and Support Allowance (ESA), Jobseeker’s Allowance (JSA) and the basic State Pension.

To ensure they are not put at a disadvantage when claiming benefits, the Government is considering awarding Class 1 National Insurance (NI) credits to spouses and civil partners of service personnel posted overseas.

Building upon the commitment, the Government has introduced legislation to provide National Insurance credits to wives, husbands or civil partners of members of Her Majesty’s forces on an accompanied assignment outside the United Kingdom.

The credits will be available from 6 April 2010 but not before this date. People qualify for them if they:

• *  are on an accompanied assignment outside the UK; and
  • -  are married to a member of Her Majesty’s forces; or
  • -  have registered a civil partnership with a member of Her Majesty’s forces; and
• *  Make an application to Her Majesty’s Revenue & Customs that is signed and stamped by the unit’s Families or Welfare Officer.

Neither nationality nor citizenship are a barrier to qualify for these credits, although people who do not already have a National Insurance number will need to make a separate application to obtain one.

Dependents who are claiming certain benefits (such as Employment and Support Allowance) or paying National Insurance contributions should obtain further information to ensure that they do not miss out.

Link to application form for NIC Credits application form

http://www.hmrc.gov.uk/forms/modca1.pdf

Further information:

http://www.aff.org.uk/linkedfiles/aff/20100323dinnationalinsurancecredits-finalv2-u.pdf

The legislation can be found on-line at:

http://www.england-legislation.hmso.gov.uk/si/si2010/pdf/ksi_20100385_en.pdf and

the supporting Explanatory Memorandum can be found at:

http://www.england-legislation.hmso.gov.uk/si/si2010/em/uksiem_20100385_en.pdf