The 2014 rates of pay as of 1 Apr 14, together with allowances and accommodation and food charges are provided below:
The basic military salary, not including X-factor, ws introduced in 1970. The levels of pay and charges are set by the Government based on recommendations by the Armed Forces' Pay Review Body (AFPRB).
The basic principle is that the packages for those in the Armed Forces must be fair when compared to those undertaking civilian occupations. Pay is maintained at levels broadly comparable with those received by civilians in similar occupations.
X-Factor. The level of military salary is enhanced by the X-Factor. This is a percentage increase to the salary of regular Service personnel (and Reserve personnel depending on commitment level), intended to reflect the differences between conditions of service experienced by members of the Armed Forces over a full career and conditions in civilian life, which cannot be taken directly into account in assessing pay comparability.
X-Factor is currently 14.5% of service pay.
In 2000 X Factor was defined by the AFPRB as follows:
“The X factor is an adjustment to military pay that we recommend to recognise our judgement of the relative disadvantage of conditions of service experienced by members of the Armed Forces compared to those in the civilian sector.
"It takes account of a number of factors, some positive and some negative, which can not be directly evaluated when assessing pay comparability. The balance of the advantage and disadvantage is averaged across the Services and the various arms within each service, and is intended to reflect service over a career. The adjustment does not, and is not intended to, reflect the particular set of circumstances that Service personnel may be faced with at any given time”.
X Factor is reviewed every five years. It was last reviewed in 2012.