Key facts
- Ministry of Defence is in talks to resolve a compensation dispute with gay veterans.
- Some veterans forced to resign due to sexuality may receive less than £50,000.
- Two former personnel, Steven Stewart and Mark Shephard, are challenging the LGBT financial recognition scheme.
- The scheme was established in 2024 under Keir Starmer's premiership.
- Stewart received £7,000 and Shephard £5,000 under a separate payment for the impact of the ban on LGBT personnel.
UK Defence Secretary Wes Streeting is seeking an out-of-court resolution to a compensation dispute with gay veterans who were forced to resign from the armed forces due to their sexuality. The Ministry of Defence is currently engaged in talks amidst a High Court challenge concerning rules that may prevent some veterans from receiving the full £50,000 payment. A High Court judge is scheduled to rule next week on whether two former service members, Steven Stewart and Mark Shephard, can proceed with a judicial review of the government's LGBT financial recognition scheme, established in 2024. Stewart and Shephard argue they were targeted for their sexuality, leading to resignations rather than formal dismissals, thus disqualifying them from the full payment. Streeting acknowledged the complexity of balancing records of formal dismissals with cases where no such records exist, encouraging eligible veterans to apply for support from the £75 million allocated fund.