SOLDIERS have won the battle to overturn their controversial pay deal, forcing Prime Minister Tony Abbott to back down and reinstate existing Christmas leave entitlements.

While the below-inflation 1.5 per cent pay deal will stand for 57,000 soldiers, the Abbott Government is expected to intervene to reinstate some entitlements stripped from soldiers under the “shameful’’ pay deal.

Mr Abbott is expected to seek colleagues’ support to overturn the decision to strip soldiers of their entitlements. An announcement is expected next week.

The decision means commanders will be able to grant a discretionary extra day of Christmas leave over the holiday stand-down for hard work.

But the bad news for thousands of other public servants is they now also face a pay cut in real terms — with the Government confirming the 1.5 per cent offer will be the most generous to any public service worker in the looming round of enter-­ prise bargaining agreements.

Mr Abbott, who plans to hold talks with independent Jacqui Lambie on soldier’s pay on Monday, has told colleagues he accepts the 1.5 per cent pay rise offer is the best the Government can offer due to the budget deficit.

However, he has conceded the decision to remove entitlements is “unacceptable’’.

Labor leader Bill Shorten has accused the Government of being “flag patriots’’, who love to be photographed with people in uniform over the deal but were happy to deliver them a real pay cut.

A decision by the Prime Minister to back down on the issue could also clear the way for Senator Lambie to drop her threat to vote against all legislation until the matter is resolved.

The Government is expected to ask the Defence Force ­Remuneration Tribunal to ­intervene to reinstate the ­entitlements.

samantha.maiden@news.com.au

Originally published as Abbott backs down on soldier pay