New Defence Housing Service must have long-term funding

The proposed Defence Housing Service (DHS) must be properly funded to ensure it can provide military personnel and their families with the quality of housing they deserve, says the Select Committee formed to scrutinise the Armed Forces Bill 2026.   

In its report to Parliament the panel said the MOD and Treasury must prioritise long-term stability and multi-year funding for the body planned to take over management of military housing from the Defence Infrastructure Organisation (DIO). 

It highlighted historical issues with poor maintenance and repair work, along with poor value for money. And it urged the Government to make sure workmanship and contractor performance improves during the current contracts, due to end in 2029. 

The new DHS should have clear processes and enforceable penalties for poor performance. The report also recommended a trial using military personnel and veterans for local housing officer roles: “They understand service life and can ensure independent oversight of maintenance and repair work and consistency of housing standards.” 

The committee considered the extension of the Armed Forces Covenant to all government departments, local authorities and devolved nations responsible for making policy decisions in areas including housing, employment and childcare. 

A lack of understanding

But it heard service providers didn’t always understand what the Covenant asked of them. Nor was it always clear to the Armed Forces community what help they were entitled to. 

“There will need to be clear guidance about what the duty means and how to meet it. And delivery of the Covenant needs to be appropriately prioritised and resourced if the expanded duty is to make a real difference,” said the report. 

AFF gave evidence at the Select Committee sessions on the Armed Forces Bill and DHS and fully supports the recommendations for proper resourcing of the DHS and clear guidance on delivering the expanded Covenant duty. 

AFF Chief Executive Collette Musgrave said: “I’m pleased to see the focus on improving housing for our soldiers and their families in this report.   

“For many years, AFF has been voicing families’ concerns around the quality and condition of the housing estate and the lack of recognition that these are people’s homes in which they need to feel secure and comfortable.   

“We really welcome this next step in getting a Defence Housing Service – with a families first focus – up and running. And we look forward to now seeing a commitment to the right level of long-term investment to support it.” 

You can read about our joint project with the other Families Federations to help Forces families find out how measures in the Armed Forces Bill 2026 can benefit them.  


PUBLISHED ON 30 April, 2026

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