§ Mr. Spellerasked the Secretary of State for Defence what steps are being taken to enable service men and women to be assisted with home purchase during their service, or at the time of retirement; and if he will make a statement.
§ Mr. LeeThe MOD has for many years operated a scheme to give advances of pay to armed forces personnel to assist them with house purchase. Recovery is on an interest-free basis. Subject to certain conditions this advance is available either during their service (RN/RM) or near the time of retirement (Army/RAF). More recently the Government introduced in 1983 a new scheme which gives service personnel a discount of 30 per cent on the purchase price of surplus married quarters. The Government have also allowed time in service accommodation to count towards the qualifying period for discount on the purchase of local authority and new town houses under the right to buy scheme. Although we keep the position under review, no further improvements are planned at present.
§ Mr. Spellerasked the Secretary of State for Defence what are the rights of service personnel to obtain rented 385W municipal housing at the end of their service; if he has any plans to extend or amend these rights; and if he will make a statement.
§ Mr. LeeThe allocation of council housing is the responsibility of local authorities. Members of the armed forces who are approaching the end of their service and wish to rent council housing must register with local authority housing departments in the normal way.
A joint circular from the Department of the Environment and Welsh Office has been sent to all local authorities in their areas to acquaint them with the special circumstances which should be taken into account when considering applications from ex-service personnel against their normal criteria. The Ministry of Defence can issue a "Certificate of cessation of entitlement to occupy a Service quarter and of impending homelessness" which gives local authorities as much early warning as possible of a need to rehouse a service family.
I have no plans to ask my right hon. Friend the Secretary of State for the Environment or my right hon. Friend the Secretary of State for Wales to depart from current arrangements.