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A report just released by the National Audit Office says that the Ministry of Defence lost the taxpayer around £14.5 billion over the life of the Annington Homes deal, compared to where we would be if the 1996 deal had never happened.

But there is also praise for the action finally taken by MoD to repurchase more than 36,000 service family homes in England and Wales for £6 billion.

The deal involved the transfer to the private sector of the bulk of the MOD's service family accommodation (SFA) in England. It was widely criiticised, increasingly so as the maintenance standard of SFA under a separate contract was seen as deteriorating, and when surplus accommodation was being released for the market, the MOD had to pay to refurbish the properties before being sold for private sector profit.

The NAO had reported that the MoD’s main aims had been "to secure funds for upgrade work; improve management of the estate; and secure value for money through a competitive sale." [Comment: There were 19 bidders.] They had found that "the sale and leaseback appeared to satisfy the MoD’s immediate objectives. However, the sale price was lower than the value of retaining the estate, and the MoD retained important responsibilities for managing it."

So although there were rational objectives for the deal at the time, there were criticisms at the time which only increased in the new century.

Although as ever there were financial pressures

A recent BAFF blog post mentioned that the first phase of the Renters' Rights Act 2025 is due to come into force in May 2026.

There was nothing specifically about service accommodation in the Renters' Rights Bill as first introduced by the Labour Government - or in its predecessor Bill introduced under the Conservative Government but never completed its stages before the General Election in 2024.

Sarah Gibson MP (Lib Dem, Chippenham) found cross-party support for a clause to be added to the Bill to require an annual assessment of

(a) the extent to which service family accommodation in England meets the relevant standards during that year, and 

(b)the work to maintain and improve the standard of service family accommodation in England that is undertaken during that year and planned for subsequent years.

The first report will cover the year 1 April 2026 to 31 March 2027.

This provision only covers England, but the Act also includes powers for Scottish and Welsh Ministers to make complementary provisions for their jurisdictions.

While elections are imminent in both Scotland and Wales, we trust that the necessary regulations will be adopted as soon as possible, so that assessment of service accommodation in both nations can proceed on a similar timetable to England's.

• Part 3 Renters' Rights Act 2025 - Decent Homes Standard
• The Renters' Rights Bill - Sarah Gibson MP

The Government proposes, in the Armed Forces Bill currently before Parliament, to establish a new standalone corporate body to be called the Defence Housing Service.