The Secretary of State may by regulations provide for the making of payments by him to employers (including employers who are self-employed) in respect of any financial loss of a description prescribed by the regulations which is suffered by them and attributable to any of their employees being in permanent service under Part IV or Part V or under a call-out or recall order.

Regulations under this section may also provide for the making of payments by the Secretary of State to the partners of a person carrying on business in partnership in respect of any financial loss of a description prescribed by the regulations which is suffered by them and attributable to that person being in permanent service under Part IV or Part V or under a call-out or recall order.

A person making a claim under regulations under this section who is dissatisfied with the determination of his claim may appeal against the determination to a reserve forces appeal tribunal.