Royal Fleet Auxiliary personnel have accepted a new pay settlement providing two salary increases, improved leave arrangements and a £250 one-off payment.
The confirmed Royal Fleet Auxiliary pay rise includes a 4.5% increase effective from 1 April 2025, followed by a further 3.6% increase from 1 April 2026. Because the second percentage is applied after the first, the combined salary uplift is approximately 8.26%.
The Ministry of Defence’s Royal Fleet Auxiliary pay announcement also confirms changes intended to give personnel more time off after periods spent at sea, a one-off leave buy-back arrangement and a £250 payment.
Royal Fleet Auxiliary Pay Rise at a Glance
| Part of the agreement | Confirmed position |
| First salary increase | 4.5% from 1 April 2025 |
| Second salary increase | 3.6% from 1 April 2026 |
| Combined compounded increase | Approximately 8.26% |
| Additional leave | Equivalent to around 13 extra days a year according to RMT |
| Leave buy-back | One-off arrangement included |
| Additional payment | £250 one-off payment |
| Unions involved | RMT and Nautilus International |
| Status | Accepted by RFA seafarers and maritime unions |
The government described the settlement as an above-inflation pay rise intended to improve recruitment, retention and working conditions across the civilian-crewed support fleet.
What Is the Latest Royal Fleet Auxiliary Pay Rise?
The latest settlement provides two consecutive increases:
- A 4.5% pay rise from 1 April 2025
- A further 3.6% pay rise from 1 April 2026
The first increase applies to the employee’s previous salary. The second increase is then applied to the higher salary produced by the first award.
This means the overall increase is not simply 8.1%. When the percentages are compounded, the total increase is approximately 8.26%.
The RMT union independently described the settlement as a combined 8.26% increase, together with improved leave and other payments.
Employees comparing the settlement with other public-sector awards can also review the latest NHS pay rise and updated pay bands. The RFA operates under separate employment and bargaining arrangements, so NHS, Armed Forces and Civil Service pay awards should not be treated as interchangeable.
How Much Could RFA Salaries Increase?
The table below illustrates how the two increases could affect different annual salaries.
| Salary before April 2025 | After the 4.5% increase | After the additional 3.6% | Total annual increase |
| £25,000 | £26,125.00 | £27,065.50 | £2,065.50 |
| £30,000 | £31,350.00 | £32,478.60 | £2,478.60 |
| £40,000 | £41,800.00 | £43,304.80 | £3,304.80 |
| £50,000 | £52,250.00 | £54,131.00 | £4,131.00 |
These are simplified gross-pay illustrations. They do not confirm the salary of any particular RFA employee or account for allowances, overtime, deductions, progression, pension contributions or role-specific arrangements.
Anyone converting an annual salary into an approximate hourly figure can use a UK salary-to-hourly-rate calculator. RFA working patterns can involve extended periods at sea, so a simple annual-salary calculation may not reflect contractual hours, voyage leave or additional duties.
Royal Fleet Auxiliary Pay Rise Calculator
Enter a current annual salary to estimate the effect of the 4.5% increase from 1 April 2025 and the additional 3.6% increase from 1 April 2026.
Estimated salary results
This calculator provides gross-pay estimates only. It does not calculate back pay, Income Tax, National Insurance, pension contributions, allowances, overtime, student loan deductions or individual eligibility.
Important: The calculation applies a 4.5% increase followed by a further 3.6% increase. The two percentages are compounded, producing an overall increase of approximately 8.26%. Actual payments should be checked against official Royal Fleet Auxiliary payroll, HR or union communications.
Is the Royal Fleet Auxiliary Pay Rise Backdated?
The 4.5% increase is effective from 1 April 2025, even though the final government announcement was published on 28 July 2026.
This indicates that eligible personnel may be due salary adjustments covering the period from the effective date until the revised rate was implemented. The precise amount will depend on factors including:
- The employee’s qualifying salary
- Their employment dates
- Any changes in grade or role
- Previous payments already received
- Pensionable and non-pensionable earnings
- Absence, unpaid leave or part-time arrangements
- Payroll implementation rules
The government announcement does not publish a universal back-pay date or individual calculation method. Personnel should therefore check their official RFA payroll communication, payslip, HR portal or union notice rather than relying on a general online estimate.
Who Is Eligible for the Royal Fleet Auxiliary Pay Deal?
The Ministry of Defence states that the agreement covers Royal Fleet Auxiliary personnel following acceptance by RFA seafarers and the recognised maritime trade unions, RMT and Nautilus International.
However, the public announcement does not provide a detailed eligibility schedule covering every grade, branch, contract type or qualifying date.
Eligibility may depend on:
- Whether the individual was employed during the relevant pay period
- Whether the role is covered by the negotiated settlement
- The employee’s contractual terms
- Their grade and salary structure
- Whether they joined or left during the backdated period
- Whether particular elements are consolidated or non-consolidated
- Specific rules for officers, ratings, cadets or apprentices
Current and former personnel should not assume that every part of the settlement applies identically. Individual entitlement should be confirmed through RFA HR, payroll or the relevant union.
What Are the New RFA Leave Arrangements?
Pay is only one part of the settlement. The agreement also changes leave arrangements for personnel spending extended periods at sea.
The Ministry of Defence says the changes will allow RFA personnel to earn more time off for periods spent at sea. RMT states that the settlement provides the equivalent of approximately 13 additional days of leave each year.
This is significant because RFA personnel can spend long periods deployed away from home. Additional leave may improve:
- Recovery after sea assignments
- Work-life balance
- Time with family
- Employee wellbeing
- Recruitment into hard-to-fill roles
- Retention of experienced maritime professionals
The exact leave entitlement may depend on an employee’s assignment pattern and contractual arrangements. Personnel should check how leave is accrued, when it can be taken and whether unused leave can be carried forward.
How Does the Leave Buy-Back Arrangement Work?
The settlement includes a one-off leave buy-back arrangement.
A leave buy-back scheme normally allows an employer to make a payment for qualifying leave that an employee does not take. However, the Ministry of Defence announcement does not publish the detailed RFA calculation, the number of days that may be exchanged or the deadline for making an election.
Personnel should confirm:
- Which categories of leave qualify
- Whether participation is optional
- How each day will be valued
- Whether the payment is pensionable
- When the payment will appear
- Whether a maximum number of days applies
- What happens to leave that is not bought back
No employee should give up leave until the written terms and financial consequences have been checked.
What Is the £250 One-Off Payment?
The agreement includes a £250 one-off payment in addition to the percentage salary increases.
The public announcement does not specify:
- The payment date
- Whether it is pensionable
- Whether part-time workers receive the full amount
- Whether recent starters or former employees qualify
- Whether a qualifying employment date applies
- Whether it is consolidated into salary
The £250 should therefore not be treated as a permanent annual salary increase.
Employees should also avoid assuming that £250 will be the amount received in their bank account. HMRC’s guidance on cash bonuses states that cash bonuses normally count as earnings and are generally processed through PAYE with Income Tax and Class 1 National Insurance deductions. The treatment of the RFA payment should be confirmed on the employee’s payslip.
How Will the Pay Rise Affect Take-Home Pay?
The headline increase applies to gross salary. An employee’s increase in net or take-home pay will normally be lower after deductions.
The final amount may be affected by:
- Income Tax
- Employee National Insurance
- Pension contributions
- Student loan repayments
- Salary sacrifice arrangements
- Attachment of earnings orders
- Allowances and overtime
- Tax-code changes
- Other taxable employment income
For example, an employee whose gross salary rises by £200 a month will not necessarily receive an additional £200 in their bank account.
Back pay can also produce an unusually large gross payment in one payroll period. This may increase deductions for that month, although PAYE calculations are generally reconciled through the tax system over the relevant tax year.
Personnel should compare the new payslip with an earlier payslip and check:
- The basic salary
- The effective date
- Any arrears or back pay
- The tax code
- National Insurance deductions
- Pension contributions
- Leave buy-back payments
- The £250 payment
- Overtime and allowances
Any discrepancy should be raised with payroll promptly.
Could the Pay Rise Affect Universal Credit or Other Benefits?
A higher salary or a large back-pay payment may affect means-tested benefits.
Universal Credit is calculated using earnings reported during each monthly assessment period. A backdated payment appearing in one month could therefore affect that month’s award, depending on how the payment is reported and treated.
The effect will vary according to:
- Total household earnings
- The Universal Credit assessment period
- Whether a work allowance applies
- Housing costs
- Children in the household
- Disability or caring elements
- Other household income
Personnel receiving means-tested support should check their award statement after the increased pay or arrears are processed. Where a payment appears to have been reported incorrectly, the claimant should contact payroll and use their Universal Credit journal.
What Does the Royal Fleet Auxiliary Do?
The Royal Fleet Auxiliary is a Merchant Navy organisation made up of civilian-crewed ships owned by the Ministry of Defence.
According to the Royal Navy’s Royal Fleet Auxiliary overview, its personnel provide logistical and operational support during military operations, counter-piracy missions, disaster relief and emergency evacuations.
Its responsibilities include:
- Delivering fuel to Royal Navy vessels
- Carrying ammunition, food and supplies
- Supporting aircraft carriers, destroyers and frigates
- Assisting Royal Marines operations
- Providing medical and humanitarian support
- Supporting surveillance and maritime-security missions
- Replenishing ships while they remain at sea
RFA personnel are professionally qualified civilian seafarers rather than members of the Royal Navy. However, they work closely alongside the Royal Navy and Royal Marines and can deploy on operations around the world.
Why Was a New RFA Pay Agreement Needed?
The settlement followed a prolonged dispute over pay, conditions, leave arrangements and recruitment and retention pressures.
RFA seafarers had taken industrial action, while Nautilus officers had also pursued work-to-rule and strike action during the dispute. In June 2026, planned action was called off after a revised offer was received.
RMT described the accepted settlement as a significant win achieved through the determination of its members. The government presented it as a foundation for improving recruitment, retention and readiness for future operations.
The agreement therefore addresses more than the immediate salary increase. It is also intended to support:
- Staffing stability
- Employee morale
- Competitive maritime pay
- Sustainable deployment patterns
- Future Fleet Solid Support Ships
- Retention of experienced officers and ratings
Will There Be Further Changes to RFA Pay and Conditions?
Further changes remain possible.
The Ministry of Defence says RMT and Nautilus will continue working with the RFA on modernisation. This includes exploring further increases to leave entitlement and developing pay arrangements that reflect the distinctive nature of RFA service.
This means the July 2026 agreement should not necessarily be viewed as the final change to RFA employment arrangements.
Future discussions could cover:
- Pay structures
- Leave accrual
- Deployment lengths
- Allowances
- Working-time calculations
- Recruitment incentives
- Career progression
- Retention payments
Only formally agreed and published changes should be treated as confirmed.
Can RFA Personnel Have a Second Job or Side Income?
RFA personnel considering freelance work, a business or another job should check their employment contract and internal policies before beginning additional paid work.
Outside employment may create concerns involving:
- Availability for deployment
- Fatigue and rest periods
- Conflicts of interest
- Security requirements
- Use of confidential information
- Tax reporting
- Maritime professional obligations
The distinction between PAYE employment and independent income is explained in the comparison of a side hustle and a second job. Employees may also need to tell their employer about a side hustle where their contract requires prior approval.
What Can UK Employers Learn From the Agreement?
The RFA settlement demonstrates that employee retention is not always solved by increasing basic salary alone.
The negotiated package combines:
- Consolidated pay increases
- A one-off payment
- Additional leave
- Leave buy-back
- Continued discussions about modernisation
- Recognition of difficult working patterns
For employers operating in transport, maritime services, engineering, logistics, healthcare or other demanding sectors, the agreement highlights the value of considering the complete employee proposition.
Where staff regularly work away from home or perform physically and mentally demanding duties, additional recovery time and predictable leave may be as important as the headline salary.
Employers should nevertheless ensure that pay, leave and buy-back arrangements are documented clearly. Workers should understand which payments are permanent, which are temporary, how leave is valued and how the changes will appear through payroll.
Summary: Royal Fleet Auxiliary Pay Rise Explained
The Royal Fleet Auxiliary pay rise provides a 4.5% salary increase from 1 April 2025 and a further 3.6% increase from 1 April 2026.
When compounded, the two increases produce a combined rise of approximately 8.26%.
The agreement also includes improved leave arrangements, the equivalent of around 13 additional days of leave according to RMT, a one-off leave buy-back scheme and a £250 payment.
The settlement was accepted by RFA seafarers and the RMT and Nautilus maritime unions. Individual entitlement, back pay, payment dates and tax deductions should be confirmed through official RFA payroll, HR or union communications.
Final Takeaway
The Royal Fleet Auxiliary pay rise represents a substantial improvement to both wages and employment conditions.
Eligible personnel are set to benefit from an overall compounded salary increase of approximately 8.26%, together with improved leave, a leave buy-back option and a £250 one-off payment.
However, the headline percentages do not show the exact amount each employee will receive. Salary grade, employment dates, deductions, allowances, pension contributions and individual eligibility rules will determine the final result.
RFA personnel should check their official pay statement carefully and seek clarification from payroll, HR or their union where the new salary, back pay, leave or one-off payment appears incorrect.
Frequently Asked Questions
What is the Royal Fleet Auxiliary Pay Rise for 2026?
RFA personnel are covered by a 4.5% increase from 1 April 2025 and a further 3.6% increase from 1 April 2026. The compounded increase is approximately 8.26%.
Is the 4.5% Rfa Pay Rise Backdated?
The 4.5% increase is effective from 1 April 2025. Eligible employees may therefore receive an adjustment covering the period between the effective date and payroll implementation, subject to the detailed settlement rules.
How Much Extra Leave Will RFA Personnel Receive?
RMT says the settlement provides the equivalent of approximately 13 additional days of leave each year. The exact entitlement may depend on contractual and deployment arrangements.
Will Every RFA Employee Receive £250?
The agreement includes a £250 one-off payment, but the public announcement does not provide detailed eligibility rules for every employee category.
Is the £250 RFA Payment Tax-free?
The government announcement does not state that it is tax-free. Cash employment payments are normally subject to PAYE tax and National Insurance unless a specific exemption applies.
Does the 3.6% Increase Replace the 4.5% Increase?
No. The 3.6% increase is applied after the 4.5% increase, producing a combined compounded uplift of approximately 8.26%.
Are Royal Fleet Auxiliary Personnel Members of the Royal Navy?
No. RFA personnel are civilian merchant seafarers employed to provide logistical and operational support to the Royal Navy and Royal Marines.
Why Did Rfa Personnel Take Industrial Action?
The dispute involved concerns about pay, working conditions, leave arrangements, recruitment, retention and how RFA service patterns were recognised.
When Will RFA Personnel Receive Back Pay?
The public government announcement does not specify a universal payment date. Personnel should check official payroll, HR and union communications.
Will RFA Pay and Leave Arrangements Change Again?
Further changes are possible because the RFA and maritime unions have agreed to continue discussions about leave entitlement, pay structures and workforce modernisation.
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