British diplomats stationed in six global locations, including Buenos Aires and Santiago, will no longer receive hardship allowances following a government review of posting classifications.
Hardship bonuses and additional respite breaks are typically granted to staff serving in cities deemed high-risk due to security threats, severe crime, or extreme environmental conditions such as air pollution. Locations currently retaining these benefits include Beirut, Pretoria, New Delhi, and Beijing.
According to the updated list published last week, the Foreign, Commonwealth and Development Office (FCDO) has removed Santiago (Chile), Panama City (Panama), Pyongyang (North Korea), Bamako (Mali), and Sarajevo (Bosnia and Herzegovina) from the qualifying roster, alongside the two South American capitals.
The remaining 144 designated locations encompass genuine trouble spots but also feature popular tourist destinations such as Bali and Rio de Janeiro, a discrepancy that has drawn sharp criticism from the Conservative Party.
Conservative Party Chairman Kevin Hollinrake argued that providing extra pay for postings in desirable locations is unfair to taxpayers. The hardship allowance scheme, operational for three decades, is intended to compensate civil servants and their families for the elevated costs and challenges associated with difficult overseas assignments. Assessments factor in security requirements, climate, natural disaster risk, isolation, and overall quality of life impacts.
While specific payment figures are not routinely disclosed, a 2009 breakdown—the most recent available—showed the highest allowances were for Karachi, Pakistan (£26,647 for a couple) and Abuja, Nigeria (£14,804). By comparison, the allowance for a couple posted to Buenos Aires was £1,517, while Santiago warranted £777.
Responding to a parliamentary question from Lord Moylan, Foreign Office Minister Lord Wood of Anfield explained that hardship assessments consider whether staff require additional leave to safeguard their physical or mental health. He emphasized that these arrangements have been applied consistently across successive governments for decades.
Other cities still qualifying for the allowance include Bangkok, Cape Town, Kuala Lumpur, Dubai, Abu Dhabi, and Muscat. Hollinrake condemned the inclusion of destinations like Bali, Cape Town, and the Maldives as “taxpayer-funded jollies” and pledged to reduce the civil service headcount if his party returns to power.
The FCDO defended the mechanism, stating that British diplomats operate in some of the world’s most challenging physical and political environments. A spokesperson affirmed the department’s duty of care to support staff appropriately, noting that compensation reflects posting circumstances in line with private sector standards.
