Ministry of Defence Future Accommodation Model

Ranil Jayawardena Excerpts

Wednesday 19th October 2016 Westminster Hall

[Mrs Trevelyan]

I thank the hon. Lady for raising one of the key questions. One of the great anxieties that families come to me with is the fear that the realities of private rental markets will be too costly to cope with, both for the MOD and individual families.

Will the Minister tell us what ongoing saving he wants to see in order to justify the vast upheaval and risks that bringing in the FAM would cause? Failing to meet our armed forces covenant commitment on housing by inventing a set of proposals that military families are appalled by, rather than extending the existing imperfect but workable service family accommodation model, will result in a mass exodus of experienced and highly trained military personnel.

[Mr Ranil Jayawardena (North East Hampshire) (Con)]

My hon. Friend visited RAF Odiham not long ago. I am sure that she will recall that 95 bed spaces have been condemned there, and 97% of the 674 still available are grade 4—the worst-quality accommodation. Does she agree that that is a false economy, because so many spaces are no longer being used and are no longer sought after?

[Mrs Trevelyan]

I recall our visit to RAF Odiham well; we were frightened nearly to death in a Chinook. Getting housing provision right—particularly behind the wire, as at Odiham—is critical to keeping those highly trained personnel. An ambitious young Army officer said to me just the other day:

“Is FAM aiming to encourage home ownership, with tools such as Help to Buy, or force personnel into home ownership? If it’s the latter, that just isn’t going to work.”

Let us turn to the FAM survey, which was apparently sent out to all serving personnel—some 190,000 men and women. First, I ask the Minister why that survey was not made mandatory, as surveys are a great deal of the time; there was a recent mandatory survey on the language skill sets of serving personnel. Anyone would think that the MOD was happy to mandate, where that suited its agenda, but that for the FAM, despite housing being a vital component of the offer for our armed forces and their families, a lower response rate better suited the MOD’s case for driving change, regardless of military families’ complex housing needs and views.

Moreover, more than 40,000 people have been excluded from answering the survey because they are deemed to be a member of a protected group, including the special forces, the military provost guard service, those based in Northern Ireland, those on full-time reserve service contracts, those under 18 and unspecified others working with those groups. Apparently the MOD will ask their opinion separately, but that has not yet happened, and those groups quite rightly feel more than a little aggrieved that their views have not yet been sought. Their families are living with uncertainty about the future of SFA, just like all the others. Will the Minister set on the record when those 40,000 or more personnel will get their chance to have their say?

Secondly, of those who received the survey, many were unable to access it because their service number, which was being used as their access token, failed to be recognised by the survey designers’ coding. Will the Minister confirm how many personnel fell through the cracks as a result of that failure? The message received by personnel was:

“If your service ID is rejected during login it means you will be unable to complete the FAM survey, because either it is not a valid armed forces service ID or you are part of a group that is not covered by the survey.”

Unsurprisingly, at that point many personnel stopped trying and simply gave up. I would find it quite insulting to be told that my service ID was not valid, and I know that many of those who put their life on the line for us all did, too. It would be helpful if the Minister clarified how many tried to access the survey but could not get in, and how many started it but failed to complete it because, as one engineer said to me,

“the whole survey just seemed like they had made up their minds that there will be change and we’ll have to lump it.”

Thirdly, many were put off from doing the survey because, as one nurse put it:

“‘This is a completely anonymous survey, please use your service number to log in’ doesn’t make me feel secure about speaking out.”

By my maths, if the Department has recorded 27,997 completed submissions, that is about a 14% return. If that is to be the basis of the evidence, we need to look closely at the questions that were and were not asked. Here we get to a key problem with the survey, and the Minister’s clarification on this point today would be helpful in reducing the sense of fait accompli that so many service families have shared with me. The survey that personnel saw on screen gave four choices; SFA remaining was not there as a fifth choice. Much later in the survey, question 24 asked:

“If SFA were available to you with the same cost as the renting package, would you want to live in SFA instead?”

That was not mandatory or part of the options offered for the FAM. As one pilot said to me,

“we were annoyed that there was no option to keep SFA, forcing us to tick another option. In a few years, when this goes ahead, they will say ‘you asked for this, look at the survey results’”.

It turns out that those who failed to get past the service ID challenge, but then nagged the team running the FAM survey, eventually received an email that asked

“which of the potential new options”

for the FAM

“do you think you would go for & why? Or would you still want to live in SFA? And why?”

If we are to give any credence to future decisions taken on a housing offer that moves away from SFA, it is vital that we are clear about who replied to which questions. A rifleman asked me whether the aim of the survey was simply to justify the dismantling of SFA, and said that to claim otherwise would be a lie, as the survey would have asked wider questions if its aim was not to justify the dismantling. Perhaps the Minister can reassure that young man and the other 196,000 personnel on that point and say that data from the survey will not be used as the basis for dismantling SFA, as so few serving personnel have been asked whether SFA is a model that they would like continued.

The Army Families Federation’s “Big Survey” report on the future of military housing highlights the critical importance of SFA in the offer; only 22% of those surveyed said that they would definitely remain in the Army if SFA was reduced and a rental allowance was offered in its place. How much has the MOD paid to Deloitte to create and manage the survey? Did Deloitte or the MOD design the impractical proposed solutions, which bear little relation to how most of the military family actually live? Will the Minister confirm whether any working group with representatives from family federations, service personnel, spouses from all ranks, SSAFA, the Defence Infrastructure Organisation and industry experts was set up? Is FAM and its four options—single living accommodation without family; renting near work; owning near work; or owning away from work, and therefore renting too—what such a broad group would have come up with?

As one naval wife said to me:

“Filling out the survey just feels like MOD justifying its forced changes and we are some part of sanctioning that. That’s why I haven’t filled it out”.

Although our Navy personnel are more likely to own their own home than those from the other services, because they are away from their families for six to nine months at a time, even the Naval Families Federation survey on FAM indicated clearly that more than 50% would prefer to live in SFA than receive a rental allowance.

An RAF wife who has moved her family seven times in 15 years highlighted just why the flexibility of SFA is so important to retention:

“Many occasions we have been posted with less than a month to move. With having to look for work, schools and everything else they want to put the pressure on me to look for a home? We don’t know the area and rely heavily on the knowledge that a quarter is in a good position with community support from other service families. The new FAM will isolate us all from that network, as well as putting strain on our family life. Seems as though the armed forces are losing the one thing that appealed to families and that was that they would look after us.”

The RAF Families Federation survey on FAM supports that family’s view, with 95% of those surveyed saying that being able to move with the serving person and live together as a family is important, and 63% highlighting the value of the accommodation being sourced and provided by their employer.

Another part of the jigsaw is the question of the footprint strategy that the MOD will publish shortly. Part of the DIO’s remit was to reduce the built footprint of MOD assets by 30% by 2020. That is 30% of all property by square footage. Although the SFA portfolio was sold off to Annington Homes back in 1996, the leaseback arrangement set in place means that the DIO keeps all the maintenance and improvement responsibility for as long as it keeps these properties on its books. The MOD negotiated with Annington Homes a 58% rent discount on all the properties, which will come to an end in 2021.