UK Government Reclaims 36,000 Military Homes in £6 Billion Deal

The MoD ends a costly 1996 privatization, aiming to save £230 million annually and improve military housing conditions.

The Ministry of Defence is purchasing 36,347 military homes from Annington for nearly £6 billion, reversing a controversial 1996 privatization deal.
The original sale of the homes to Annington for £1.7 billion has been criticized for costing taxpayers billions due to rising property values and rental liabilities.
The deal eliminates £4.3 billion in rental costs and other liabilities, with annual savings of £230 million expected for the defense budget.
The government plans to use the savings to address long-standing issues in military housing, including damp, mold, and outdated facilities, while also investing in redevelopment and new construction projects.
The agreement resolves ongoing legal disputes between the government and Annington, with the transaction set to formally close on January 9, 2025.