UK Ministry of Defence Buys Back Military Homes

Guy Hands' property firm Annington has agreed to sell 36,347 military homes to the UK Ministry of Defence (MoD) for nearly £6 billion, concluding a lengthy legal dispute. The MoD will take back ownership of the homes, reversing a controversial 1996 deal that saw them sold off, and will save approximately £230 million annually in rental costs. Defence Secretary John Healey emphasized that while issues with military housing are significant, this transaction marks a shift from past failures and aims to improve living conditions for military families. The homes, originally valued at £10.1 billion without leases, were purchased for £5.99 billion, reflecting a compromise after Annington's legal challenges. The government aims to address long-standing problems with sub-standard accommodation, which have persisted over the last decade, through this acquisition. This move is expected to not only improve housing conditions but also enhance British housebuilding and create jobs.