Compensation payments for severely wounded troops will be doubled after ministers finally bowed to pressure for a fairer deal.

It follows a Daily Mail campaign highlighting the financial difficulties faced by servicemen such as 23-year-old paratrooper Ben Parkinson, who survived a landmine explosion.

The maximum amount that the most gravely injured can receive under the Government's reforms will rise from £285,000 to £570,000.

Those who have sustained less serious injuries will qualify for smaller rises.

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Campaign for compensation: Paratrooper Ben Parkinson as he is now and on operations in Afghanistan three years ago

The Armed Forces will also enjoy better access to school places, doctors and dentists.

Those who serve for more than six years will also be entitled to free A-level or degree tuition.

And in future councils will be barred from taking compensation handouts into account when deciding whether disabled veterans are eligible for means-tested help with adapting their homes.

London mayor Boris Johnson's pledge of free bus travel for injured servicemen and women is to be extended nationwide.

However, the family of Lance Bombardier Parkinson, who lost both legs and sustained brain damage serving in southern Afghanistan, said that the new measures did not go far enough.

They are particularly concerned that compensation for wounded troops will still be determined on the controversial 'tariff' system.

Only the three worst injuries are taken into account when determining the payout, rather than the cost of the individual's lifelong medical care.

This meant Lance Bombardier Parkinson was offered a lump sum of just £152,000 - a fraction of the £484,000 awarded to a civilian RAF typist last year for repetitive strain injury in her wrist.

He was later awarded the current maximum of £285,000 after a public outcry - and generous Daily Mail readers donated a further £200,000 following an article on his plight last summer.

His family are challenging the payout in the courts.

Their solicitor, Andrew Buckham, said: 'We do not believe there should be any upper limit on the compensation that soldiers are awarded.

'It should instead be assessed on each individual's injuries.'

The injured soldier's mother, Diane Dernie, welcomed the increase in compensation as 'absolutely marvellous news'.

But she added: 'A cap is always an unfortunate thing because you are putting a limit on the severity of injuries.

'Injuries know no limit, you are always going to get someone more seriously injured and therefore penalised by a cap.'

She said her son continued to improve and was now ready to come home after being in hospital for nearly two years.

The reforms, unveiled by Defence Secretary Des Browne yesterday, come after an outcry over the treatment of Iraq and Afghanistan veterans.

The Royal British Legion had claimed that the 'military covenant' - which guarantees soldiers fair treatment in return for putting their lives on the line - was not being upheld.

Royal British Legion director general Chris Simpkins said it was a 'triumphant day' for campaigners who wanted the covenant properly honoured.

Mr Browne told MPs the Government recognised it had a ' fundamental duty' to support troops.

'The measures will make a real difference to the everyday lives of our forces and their families,' he said.

'It will improve their access to public services and for the most seriously injured it will ensure a significant increase in the amount of compensation they get paid.'

But Sir Jock Stirrup, the Chief of the Defence Staff, warned that it would be 'many years' before military accommodation is brought up to an acceptable standard.

Shadow defence secretary Liam Fox welcomed many of the proposals, saying they echoed those made by the Conservatives.

'But the paper today cannot disguise Labour's decade-long neglect of the Armed Forces,' he added.

He expressed concern that personnel injured before 2005 will not benefit from the changes, meaning 111 men and women who were severely wounded serving in Iraq and Afghanistan will not get any more compensation.

The Benefits

• Tuition and schools: Free A-Level or degree teaching will be offered to those with six or more years' service in the Armed Forces.

From now on, a soldier, sailor or airman can sign up straight from school with the knowledge that he or she will be able to find another career after finishing military service.

Watchdogs will also review schools admissions policies to ensure that any disadvantage for service families - who frequently move around bases - is removed.

• Health service: When Armed Forces personnel move across the UK, they will no longer go back to the bottom of NHS waiting lists.

The Department of Health will make sure previous waiting times will be taken into account.

Servicemen and women will also be offered dental care on military bases.

• Housing: Servicemen and women will be designated as 'key workers' for 12 months after they leave the Armed Forces, which should help them to find a house.

The Ministry of Defence will also launch a £20million pilot scheme to promote home ownership via shared equity schemes.

The Communities and Local Government Department will give seriously injured personnel 'high priority' when applying for social housing.