New report explores financial concerns for veterans in Scotland

Susie Hamilton | Stewart Attwood

Veterans and Finance looks at the financial advice and support available to veterans as they transition from military to civilian life and beyond, examines accessibility of the welfare system, and explores exposure to gambling harms in the veteran community.

It also recognises the valuable skills veterans contribute to Scotland’s financial services industry, and the potential for rewarding second careers in the sector.

Drawing on extensive engagement with veterans, public bodies, charities and the financial sector, the report recognises that the vast majority of Scottish veterans make a smooth and successful transition to civilian life, with financial stability and fulfilling employment.

However, it also highlights the complex financial challenges faced by some – particularly when navigating unfamiliar and complex welfare systems. These issues can be compounded by limited financial literacy, specific complications around Armed Forces pensions and compensation, and lack of awareness of available support.

The report outlines areas where support can be improved, including in areas that are the responsibility of the UK Government. These include the importance of developing effective life skills while in Service and the value for veterans of being able to access statutory support that is appropriately resourced.

Commissioner Susie Hamilton said: “For most Scottish veterans, their experience of military life is positive and fulfilling and is often followed by a second, equally successful career. Most will be financially secure and able to provide for the future. A minority, however, will struggle to gain financial stability in the civilian world.

“Complex systems and processes, particularly in accessing welfare support, can present challenges for anyone seeking support. For veterans, unfamiliarity with civilian processes, alongside the interplay between MoD pensions and compensation, places them at greater disadvantage.

“Research has shown that serving personnel and veterans are also significantly more likely to be affected by gambling harms than the civilian community, and more work needs to be done to raise awareness of this issue, reduce stigma and provide support for those affected.”

While the report identifies areas of concern, it also highlights examples of strong support and good practice across Scotland’s public and third sectors.

‘Veterans and Finance’ makes four key recommendations to the Scottish Government:

• Building on previous recommendations, guidance to local authorities in Scotland should clearly state that all armed forces compensation, including awards under the War Pension Scheme, must be fully disregarded when calculating income for means-tested benefits.
• Veterans accessing benefits through Social Security Scotland are identified and supported by staff who are trained to be ‘veteran aware’. Clearly designated points of contact in Social Security Scotland for veterans - and for those supporting them - should be easily identifiable and accessible.
• Staff delivering financial or debt advice services that receive statutory funding are trained to be ‘veteran aware’, ensuring they understand the unique needs of the veteran community and are equipped to provide appropriate support.
• Veterans are explicitly recognised as a population at heightened risk in the development of appropriate public health policy, services, and support addressing gambling harms.

The Commissioner concluded: “Financial stability is a cornerstone of overall wellbeing, therefore it is vital that barriers facing the veteran community are removed. By addressing the challenges and building on good practice, we can move closer to a Scotland where no one is financially disadvantaged because of their Service.”

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