§ Mr. Freudasked the Secretary of State for Defence what proportion of men ending their term of service with the Army (i) receive help through the assisted house purchase scheme, (ii) receive council house accommodation, (iii) are not known to his Department so far as their future housing arrangements are concerned and (iv) take advantage of special mortgage schemes run for Service men by building societies.
§ Mr. WigginInformation is not available in the form requested. Some 5,800 Army personnel have received loans since 1975 under the assisted house purchase scheme. About 35,000 are currently taking part in the house purchase savings scheme arranged with the building societies by the Army.
§ Mr. Freudasked the Secretary of State for Defence what provisions are made within the Army for advice upon housing matters and financial arrangments for purchasing houses and applying for council housing to Service men; and whether he is satisfied that sufficient attention is paid to the promotion of knowledge of such matters by officials of his Department.
§ Mr. WigginI am satisfied that extensive advice, information and assistance on housing matters is given by commanding officers and others to Service men throughout their careers. Particular attention is paid to the subject of housing in civilian life during the resettlement programmes they may attend in the last two years of their careers.
An assisted house purchase scheme exists which provides interest free loans of up to £3,500 to certain personnel with long service who are about to leave the Army.
Some 35,000 Service men are taking part in the house purchase savings scheme arranged by the Army and the building societies. Service participants receive preference when they come to apply for mortgages; in certain cases a mortgage is guaranteed.
§ Mr. Freudasked the Secretary of State for Defence what plans he has for the updating of the assisted house purchase scheme; whether he is satsfied with the availability of help in house purchasing afforded by that scheme; and whether he will make a statement.
§ Mr. WigginThe Ministry of Defence has house purchase schemes under which married personnel aged 50 or over, or who are within two years of retiring from a permanent commission or engagement, are entitled to an338W interest-free advance of up to six months gross salary within a ceiling of £3,500. The Navy has for many years made similar advances to those aged 25 or over.
The Ministry has examined improvements to the existing schemes which would remove the present ceiling of £3,500, lower the age of eligibility to 30 in the Army and Royal Air Force, and extend the schemes to single personnel. Coupled with the improvements would be the introduction of measures to assist house owners when moved. It has not been possible to introduce these schemes for budgetary reasons. The matter continues to be reviewed in the light of the financial situation.