Dozens of civilian staff left at the former RAF Innsworth base near Gloucester may have won a reprieve in their bid to stay at the site.
Unions have been fighting to stop the Medals Office and Joint Casualty and Compassion Centre moving to Gosport.
The MoD is expected to announce later that they can remain at the base.
Gloucester MP Parmjit Dhanda says the u-turn follows concerns that specialist skills may be lost if staff decide to quit rather than move.
Supporting casualties
"At a time when there are so many troops in action around the world, we certainly can't afford to be losing people involved in supporting them medically and compassionately," said Mr Dhanda.
"And if they are asked to move to Gosport, I think a lot of them would leave their jobs."
The Joint Casualty and Compassion Centre is responsible for monitoring and directing all aspects of casualty management, supporting injured service personnel and their families.
The Medals Office issues and replaces service medals.
RAF Innsworth closed in March 2008. Nato's Allied Rapid Reaction Corps will move on to the base, bringing 4,000 people to the area, between next year and 2011.
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