The Ministry of Defence is due to unveil reforms for troops in a Command Paper which will outline better support for service personnel and their families.
It comes after the government was accused of not upholding its covenant with the military to ensure those in the armed forces were looked after in exchange for putting their lives at risk.
The Daily Telegraph reported that troops would be fast-tracked to the top of NHS waiting lists and given "special treatment" over other issues such as education.
That will see free university education for those leaving the services after at least six years of service, the BBC reported.
Furthermore, the compensation level offered to the most seriously wounded soldiers will rise to 570,000 pounds on top of guaranteed income for life, with smaller increases for those less seriously hurt.
The measures come after senior officers and charities called for troops to be given better treatment.
Last week a survey found that almost half the members of the armed forces regularly thought about quitting, with 72 percent of those in the Royal Air Force rating morals as low or very low.
Prime Minister Gordon Brown promised in June that the government would do "everything it could" to help troops after the head of the Army General Sir Richard Dannatt complained soldiers were paid less than traffic wardens.
The Royal British Legion has also been calling for more to be done to ensure the military covenant was honoured with improved compensation, medical care, accommodation and better support for bereaved families and those of injured personnel.
