MoD to buy back 36,000 military homes from Annington after agreeing £6bn deal
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Thousands of military homes are being brought back under public ownership in a £6bn deal. The Ministry of Defence is buying back 36,347 homes from Annington, a property firm, effectively reversing the 1996 privatisation. According to ministers, the deal will eliminate the annual £230m rental cost for the homes. Defence Secretary John Healey stated that the 1996 privatisation was a "fire sale" and a "dreadful deal" and that "Today ends one of the worst-ever government deals,".
He noted that issues with military accommodations won't be resolved immediately, but this is a significant step forward. He added: "This is a once in a generation opportunity, not only to fix the dire state of military housing but to help drive forward our economic growth mission, creating jobs and boosting British housebuilding.".
"Our armed forces and their families make extraordinary sacrifices: theirs is the ultimate public service. It is shameful that in the lead up to Christmas, too many military families will be living with damp, mould and sub-standard homes – issues which have built up over the past decade.".
"We are determined to turn this around and renew the nation’s contract with those who serve. These important savings to the defence budget will help fix the deep-set problems we inherited.". The service family estate sold in 1996, which is now valued at £10.1bn when not subject to leases, is being purchased for £5,994,500,000.
