Guidance for those receiving War Pension Scheme, Armed Forces Compensation Scheme or Armed Forces Pension Scheme payments and living in the European Union.
From 1 January 2021, you may no longer be able to use a British bank account for your War Pension Scheme, Armed Forces Compensation Scheme or Armed Forces Pension Scheme payments.
This is because the passporting arrangements between the British and European Economic Area (EEA) banks are set to end on 31 December unless a new agreement is reached with the European Union (EU). Passporting allows banks to provide services to customers in other states in the EEA without having any direct authorisation in those states. After the end of this year each UK bank will need to have a separate authorisation in every EEA country in which it operates.
Some banks have decided to close accounts in countries where they no longer wish to operate regardless of whether the UK reaches a deal with the EU, if your bank has taken this decision they should have contacted you already. If you haven’t already taken action, you need to make new arrangements now so that we can continue to pay you.