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Defence Infrastructure Organisation

The Defence Infrastructure Organisation (DIO) is an executive agency of the , formed on 1 April 2011 to consolidate and professionally manage the following a reorganisation of functions within the . As the expert for defence, DIO enables the Armed Forces to live, work, train, and deploy at home and overseas by planning and delivering capital projects, providing utilities and soft facilities management such as cleaning and catering, maintaining family accommodation, and stewarding the overall . It oversees a vast portfolio, with the holding land equivalent to approximately 1.4% of the UK's landmass across over 4,000 sites worldwide, including owned holdings of 220,000 hectares and additional rights over 204,000 hectares. Employing around 5,000 personnel in roles ranging from engineers to town planners, DIO operates under a (2020-2030) emphasising , , and to achieve a smaller, more efficient, and higher-quality estate aligned with evolving requirements. Key achievements include the delivery of 23,000 new or upgraded bedspaces via Project SLAM by and support for personnel relocations amid force structure changes, contributing to defence readiness. However, DIO has encountered challenges, particularly in estate optimisation and accommodation maintenance; parliamentary scrutiny has highlighted persistent issues like damp and mould in service family housing, leading to criticisms of condition standards despite investments such as £123 million for upgrades and broader commitments exceeding £1 billion for improvements. These concerns underscore ongoing efforts to balance fiscal constraints with operational imperatives in managing a legacy estate larger than strictly needed post-force reductions.

History

Formation and Early Years

The Defence Infrastructure Organisation (DIO) was established on 1 April 2011 as an of the United Kingdom's (MOD). It resulted from the merger of the former Defence Estates organisation with property, , and facilities management functions previously dispersed across other MOD Top Level Budget holders. This centralisation aimed to create a unified "one-stop shop" for defence services, optimising , reducing duplication, and enhancing efficiency amid broader MOD reforms following the 2010 Strategic Defence and Security Review, which sought substantial cost savings. The reorganisation involved streamlining operations, with an initial workforce adjustment that included the planned reduction of approximately 2,500 posts to align with fiscal constraints. In its formative phase, DIO assumed responsibility for the acquisition, disposal, allocation, , and of the MOD's extensive , encompassing over 200,000 buildings and 500,000 acres of across the and overseas. Early priorities included supporting operational demands, such as facilitating troop training and deployments amid ongoing commitments in during 2011. The organisation also initiated efforts to address longstanding deficiencies in service personnel accommodation, with a primary focus on delivering upgrades under the Single Living Accommodation Modernisation programme inherited from Defence Estates. These activities laid the groundwork for strategic optimisation, emphasising sustainable investment to underpin military capability while navigating budget pressures.

Key Milestones and Reforms

The Defence Infrastructure Organisation (DIO) was established on 1 April 2011 as an of the , merging the functions of the former Defence Estates with other property, infrastructure, and estates management teams to create a centralized "" for handling the majority of Defence's built and non-built estate requirements. This formation represented the initial major deliverable of the broader Transforming Defence programme, initiated following the 2010 Strategic Defence and Security Review to enhance efficiency, reduce costs, and align infrastructure support with military priorities under recommendations from Lord Levene's review. A significant reform occurred in September 2014 with the introduction of the Strategic Business Partner (SBP) model, partnering DIO with firms , (later ), and Consulting to embed commercial expertise in and operations. This initiative aimed to drive cost savings, improve service delivery, and foster innovation by integrating industry perspectives into DIO's , which now includes , military, and leaders. The SBP built on an earlier Enhanced Operating Model, implemented around 2012, which refined internal processes for better and project delivery to address inefficiencies inherited from pre-2011 structures. Subsequent transformations included the 2016 launch of the Defence Estate Optimisation (DEO) programme, targeting a 30% reduction in the built estate footprint by 2040 through rationalization, modernization, and disposal of surplus sites to better support agile military capabilities while generating capital receipts for reinvestment. The Future DIO initiative, highlighted in the organisation's 2021 ten-year review, further advanced reforms by emphasizing digital adoption, talent management frameworks, and competence-based career pathways to enhance resilience and adaptability amid evolving defence needs. The DIO Strategy 2020–2030 codified these efforts, committing to foundational improvements in and reliability. These milestones reflect DIO's progression from a post-SDSR consolidation entity to a more commercially oriented, tech-enabled provider, though challenges persist in balancing cost efficiencies with operational demands, as evidenced by ongoing programme evaluations.

Organizational Structure

and

The (DIO) is headed by Chief Executive Mike Green, who took up the position in April 2022 following his prior role as and Director General of Operations at the from 2012 to 2022. In this capacity, Green leads the Executive Team, develops and delivers infrastructure aligned with the Defence Plan, Defence Infrastructure Direction, and Command Infrastructure Delivery Plans, ensures estate compliance and safety, and maintains accountability to the Service Chiefs for programme execution and service provision. The Executive Team supports the Chief Executive across operational domains, including David Brewer as Chief Executive Defence Developments, Phil Riley as Accommodation Director, Charles Hoskins as Director Major Programmes and Projects, Moira Hassel as Director Regional Delivery, Andy Sturrock as Director of Strategy and Plans, Jonathan Sawyer as Director of Corporate Operations, Claire Benham as Commercial Director, Lucy Bogue as Director Security Services, Sarah Wooden as Head of People Team, and Tricia Jakeman as Head of Corporate Affairs. Governance of DIO is overseen by its Board, which provides strategic direction and risk management as an within the Ministry of Defence's National Armaments Director Group. As of March 2023, the Board comprised non-executive members Neil Sachdev as Chair, Gurpreet Dehal, Robin Gisby, Gary Kildare, and Bill Yardley, alongside representatives including Chief Executive Mike Green and DIO Director of Finance Kate Harrison. The Chief Executive reports to the Permanent Under Secretary, who holds ultimate budgetary and accountability oversight. Non-executive directors contribute independent scrutiny on areas such as people management and performance, drawing from external expertise in and delivery.

Operational Divisions

The Defence Infrastructure Organisation (DIO) structures its operations through specialized directorates that deliver infrastructure support to the UK armed forces, encompassing service delivery, project execution, and asset management. These directorates focus on practical implementation of estate maintenance, construction, and optimization across approximately 4,000 sites worldwide, including bases, areas, and . Service Delivery handles frontline operational needs, such as managing 60,000 military family houses, 150,000 bedspaces, and training estates in locations including the , , , , , and . This directorate oversees utilities, facilities maintenance, and minor works to ensure operational readiness, including upgrades like the delivery of 23,000 new or refurbished bedspaces under Project SLAM by 2017. Project and Programme Delivery manages capital investments and major infrastructure initiatives, led by figures such as the Director of Major Programmes and Projects. Responsibilities include executing large-scale builds, such as hangars for A400M Atlas aircraft and runway renovations at , coordinating with contractors to align with defence priorities. Regional Delivery, under the Director of Regional Delivery, implements operations across geographic areas, ensuring localized estate management and responsiveness to service-specific demands from the , , and . This includes coordination of training facilities and support for relocation efforts, such as moving 5,000 Army personnel to new sites. Asset Strategy and Portfolio focuses on long-term through estate optimization, land services, and , supported by data analytics and IT systems to inform decisions on 424,000 hectares of managed land. Commercial functions integrate and contracts to underpin these divisions, emphasizing value-for-money in operational expenditures.

Core Responsibilities

Estate Management and Maintenance

The Defence Infrastructure Organisation (DIO) manages and maintains the (MOD) estate, encompassing approximately 790,000 hectares of land globally and 134,000 built assets as of 2020, which represents about 1.8% of the UK's land mass. This includes 49,568 Service Family Accommodation (SFA) properties and 145,000 single living accommodation bed-spaces, with DIO procuring and overseeing routine maintenance, reactive repairs, utilities provision, and soft facilities management services such as cleaning and catering. Hard facilities management under DIO's remit covers minor construction projects, mechanical, electrical, and structural support to ensure operational functionality across training areas, ranges, camps, and administrative buildings. DIO's maintenance efforts include delivering large-scale reactive and planned works, with 766,839 response maintenance tasks completed and 531,389 statutory and mandatory inspections conducted in the 2019-20 financial year alone. The organisation operates under a £4.25 billion annual for the defence , of which estate maintenance accounted for £3.1 billion in 2019-20, supporting upgrades like £123 million invested in SFA improvements that year. In , DIO awarded £1.1 billion in contracts specifically for maintenance to enhance service delivery across the portfolio. These activities align with DIO's 2020-2030 strategy, which emphasizes data-driven systems to prioritize high-quality upkeep, reduce disruptions from failures, and integrate measures for . Challenges in estate maintenance stem from the aging , with 48% of assets over 50 years old as of 2020, contributing to issues such as a 21.5% SFA void and 222 non-compliant assets requiring mitigations. addresses these through lifecycle refurbishment programs and collaboration with suppliers to minimize operational impacts, while maintaining a central asset information register for informed planning and stewardship obligations, including of remote and unspoilt areas. Despite reductions in the built estate by £0.65 billion since 2015, ongoing pressures from geopolitical demands necessitate sustained investment to ensure military readiness.

Infrastructure Planning and Development

The Defence Infrastructure Organisation (DIO) supports capability through systematic planning and development of defence infrastructure, encompassing major projects, lifecycle refurbishments, and asset optimisation across approximately sites. This includes maintaining a central register of asset information to inform decision-making and ensure alignment with operational needs for over 140,000 personnel. DIO's planning framework is guided by the Strategy for Defence Infrastructure, published in 2022, which outlines nine objectives organised into three themes: delivering the right infrastructure in the right condition with ; creating future-ready environments through and ; and building skills and partnerships. The strategy emphasises modernisation of an estate—where around 40% of assets exceed 50 years in age—via integration with broader defence capability requirements, including facilities at 58 establishments and operational against risks. A core component of development efforts is the Defence Estate Optimisation (DEO) Portfolio, a 25-year programme representing a £4.3 billion in unit relocations, site disposals, and infrastructure upgrades to rationalise and enhance efficiency. DIO incorporates sustainability into planning, targeting by 2050 through measures such as adoption, emissions reductions (48% since 2010), and adoption of modern construction methods to minimise environmental impact while preserving asset value. The DIO Strategy 2020-2030 further supports this by prioritising digital tools like the Infrastructure Management System for predictive planning and improvements to reduce disruptions.

Major Projects and Initiatives

Accommodation and Housing Programs

The Defence Infrastructure Organisation (DIO) manages Service Family Accommodation (SFA), encompassing approximately 47,600 homes in the UK for around 38,900 service personnel and their families, on behalf of the (). This program includes responsibility for allocations, maintenance outsourcing, substitute accommodation during repairs, and transitions for personnel postings, with DIO coordinating moves and ensuring compliance with occupancy standards. DIO's SFA efforts are guided by the 2022 Defence Accommodation Strategy, which emphasizes sustainable estate management, condition improvements, and alignment with military operational needs to support retention and family welfare. In parallel, DIO oversees Single Living Accommodation (SLA) programs for unmarried, unaccompanied, or transient service personnel, focusing on modernizing aging blocks to meet contemporary standards for privacy, amenities, and hygiene. A key initiative is the Programmatic SLA framework, under which DIO contracted partners in August 2025 to deliver nearly 1,800 new bedspaces across initial sites, prioritizing rapid construction via modular methods to enhance living quality and operational readiness. For instance, in September 2025, DIO completed a new SLA block at for the Army, funded through the SLA Programme and built by contractor Volumetric, providing upgraded facilities for hundreds of personnel. Recent housing initiatives include a £1.5 billion investment allocated in June 2025 to upgrade conditions across both SFA and , incorporating routine inspections, enhanced contractor accountability, and governance reforms to address longstanding maintenance shortfalls. In April 2025, DIO introduced measures under a forthcoming , such as improved responsiveness to needs and with the new Defence Homes online portal for SFA queries and updates, replacing prior pages. Additional policy updates, effective August 2025, permit pets in select SFA properties to foster -friendly environments, with DIO managing implementation to balance welfare and estate upkeep. These programs collectively aim to deliver value-for-money outcomes, with DIO reporting progress through annual estate reports and oversight.

Training and Operational Facilities

The Defence Infrastructure Organisation (DIO) manages the 's Defence Training Estate (DTE), encompassing 16 major training areas and 104 minor training areas, ranges, and camps across approximately 240,000 hectares, which constitutes over two-thirds of the Ministry of Defence's () 230,000 hectares of land dedicated to training purposes. This estate supports training for all stages of careers, from to pre-deployment exercises, accommodating an average daily throughput of 9,000 personnel and peaking at up to 30,000 during high-activity periods. DIO's responsibilities include providing, developing, and maintaining these facilities to ensure they are safe, sustainable, and aligned with operational readiness, while integrating environmental conservation—overseeing more than 170 Sites of Special Scientific Interest, 40 Special Protection Areas, and 700 scheduled archaeological monuments. The DTE is organized into six regional training areas in the UK: East, North (including Otterburn), (encompassing ), South East (including ), South West (including ), and & West, enabling diverse scenarios such as firing, maneuvers, and amphibious assaults. Overseas components extend this capability across 22 countries, with key sites in (), five locations in , two jungle training areas in , 13 sites in , and a large area in equivalent to three times the size of . These facilities also support ancillary operational functions, such as range safety management and public access when not in military use, including for , services, and commercial activities like filming or motorsports. Operational support for is delivered through the National Training Estate Prime (NTEP) , awarded to Landmarc Support Services since 1 November 2014, which handles booking systems, accommodation, hard facilities , and maintenance to optimize availability and efficiency. In May 2023, a £560 million renewal was announced to sustain and the , preserving 1,300 UK jobs and ensuring continued support for armed forces across the 120 combined major and minor areas. Recent enhancements include the opening of a new urban fighting skills facility at Rollestone Camp on in September 2025, designed to improve and operational preparedness. These efforts underscore DIO's role in bridging with deployable operational capabilities, though challenges persist in balancing usage demands with .

Performance Metrics and Achievements

Efficiency and Cost-Saving Measures

The Defence Infrastructure Organisation (DIO) has pursued efficiency through the Defence Estate Optimisation (DEO) programme, which involves rationalising surplus sites and investing £5.1 billion in modernising infrastructure to align with military needs while reducing operational costs. This initiative targets a 30% reduction in the built estate by 2040, enabling disposal of underutilised land and recycling proceeds into frontline capabilities. Complementary sustainable development strategies emphasise resource efficiency, such as adopting low-impact materials and reducing waste, to lower through-life costs across the estate. Key cost-saving outcomes include projected running cost reductions of over £140 million in the decade following the 2016 Better Defence Estate strategy, escalating to nearly £3 billion by 2040 through site disposals and infrastructure upgrades. The Net-Zero Carbon Accommodation Programme (NetCAP), completed in summer 2023, has delivered immediate carbon reductions in training facilities, indirectly supporting utility cost savings via energy-efficient designs. Additionally, DIO's 2020-2030 strategy promotes whole-life cost optimisation by curbing utility consumption and integrating performance-based maintenance. However, independent audits by the National Audit Office (NAO) in 2021 revealed shortfalls in realising full savings, with anticipated running cost reductions dropping 33% to £2.7 billion due to slower disposals and persistent under-investment risks. Earlier transformation contracts failed to achieve £5 billion in DIO operational savings over 10 years, highlighting execution challenges despite strategic intent. These measures, while yielding verifiable efficiencies in targeted areas, underscore the tension between cost pressures and maintaining estate condition.

Contributions to Military Readiness

The Defence Infrastructure Organisation (DIO) enhances military readiness by delivering specialised facilities that enable realistic preparation for contemporary operational environments, thereby improving the tactical proficiency and adaptability of UK Armed Forces personnel. For instance, in September 2025, DIO completed the £17 million Skills House project at Rollestone Camp, featuring configurable interiors with smoke, sound, and lighting effects to simulate urban combat scenarios, allowing platoon-level forces to rehearse tactics in a controlled setting. This directly bolsters readiness by reducing the gap between and real-world deployment demands, as evidenced by parallel delivery of a second facility at Catterick's Whinny Hill site. DIO further supports equipment-centric readiness through logistics infrastructure that preserves warfighting assets for rapid mobilisation. The Vehicle Storage Solution Programme (VSSP), managed by DIO for the , includes a controlled environment facility at MOD Ashchurch capable of storing over 900 vehicles, handed over on 3 March 2025 with full programme completion targeted for 2027. By mitigating and maintenance demands via climate-controlled conditions and integrated for sustainability, this project lowers long-term costs while ensuring vehicles remain mission-ready, contributing to sustained operational tempo amid fiscal constraints. Additionally, DIO maintains diverse training estates across varied terrains—encompassing desert, arctic, jungle, and urban simulations in the UK and overseas locations such as , , and Germany's —to foster resilience and multi-domain proficiency. These environments have supported exercises like Mayan Storm in (2021) for marksmanship and Haraka Storm in (2023) for defensive operations, directly translating to heightened deployability by exposing forces to expeditionary challenges akin to those in active theatres. Through such provisions, DIO aligns estate capabilities with strategic imperatives for agile, high-readiness forces.

Criticisms and Challenges

Infrastructure Condition and Maintenance Failures

The Defence Infrastructure Organisation (DIO) has faced significant challenges in maintaining the condition of the UK defence estate, stemming from a legacy of underinvestment and a reactive "fix-on-failure" approach to repairs. A 2021 National Audit Office (NAO) report highlighted that the (MoD) estate confronts an ongoing maintenance backlog, exacerbated by deferred preventative measures and reliance on addressing issues only after they arise. This has led to persistent deterioration across buildings, training facilities, and infrastructure, with the 2022-23 State of the Estate report noting specific risks such as Reinforced Autoclaved Aerated Concrete (RAAC) failures requiring urgent intervention. Service family accommodation (SFA) represents a prominent area of failure, with widespread reports of substandard conditions including damp, mould, and structural defects. In October 2022, the MoD issued a formal apology to army families for "unacceptable" housing standards, acknowledging systemic shortcomings in maintenance and repair processes that resulted in squalid and hazardous living environments. A December 2024 Defence Committee report described accommodation as "shocking," criticizing DIO-contracted providers for poor performance in repairs and warning that unresolved damp and mould issues could drive personnel retention problems. These failings persist despite DIO's efforts to conduct stock condition surveys, such as the planned assessment of 2,500 SFA properties in 2025 following the Annington housing deal, which aims to quantify the extent of disrepair but underscores prior inadequate oversight. Beyond housing, broader infrastructure vulnerabilities include risks from aging materials like , which DIO identified in a March 2024 safety alert as prone to sudden plank failure due to corrosion and structural weaknesses, potentially endangering personnel without immediate . Contractor management under DIO's framework has drawn scrutiny for inconsistent quality, with the 2024 Defence Committee report demanding "demonstrable improvement" in outsourced maintenance to address delays and subpar workmanship. These issues reflect deeper causal factors, including budget constraints prioritizing operational spending over estate stewardship, as evidenced by NAO analyses of deferred liabilities accumulating over decades. Despite DIO's role in issuing alerts and coordinating responses, the persistence of these conditions has undermined readiness and , with parliamentary inquiries attributing failures to inadequate proactive investment rather than isolated contractor errors.

Contract Management and Procurement Issues

The Defence Infrastructure Organisation (DIO) has encountered persistent difficulties in contract management, particularly with outsourced services for estate maintenance and military accommodation, leading to delays, cost inefficiencies, and suboptimal service delivery. The (NAO) highlighted fundamental weaknesses in DIO's approach to managing major contracts, including inadequate oversight mechanisms and challenges in achieving value for money from strategic partnerships such as the one with , which aimed to streamline estate optimization but yielded limited progress by 2018. In service family accommodation, DIO's reliance on external providers under frameworks like the Future Defence Infrastructure Services (FDIS) has resulted in operational shortcomings, such as frequent missed maintenance appointments, delays in processing complaints, and inconsistent claims for compensation, exacerbating dissatisfaction among service personnel. The four Regional Accommodation Maintenance Services (RAMS) contracts, collectively worth £506 million and awarded in 2022 to firms including Pinnacle Group, Amey Community Ltd, and Vivo Defence Services, have been plagued by IT system failures, staffing shortages, and protracted response times to repair requests, contributing to widespread reports of substandard housing conditions. Procurement processes for large-scale infrastructure support contracts have faced legal and procedural challenges, exemplified by Interserve's 2014 judicial review against the award of three Next Generation Estate Contracts (NGEC) totaling approximately £4 billion to a Carillion-led ; the firm contested the process, arguing the winning bids were abnormally low and ed non-delivery due to unrealistic pricing. These issues reflect broader concerns over DIO's evaluations and assessments, with parliamentary scrutiny in 2024 underscoring that outsourced maintenance models have failed to resolve chronic deficits despite contractual incentives for performance improvement. Despite DIO's efforts to renegotiate terms and enhance monitoring—such as through digital tools like the anticipated Home Hub rollout in —ongoing audits indicate that contract enforcement remains hampered by short-term budgetary pressures and insufficient internal capabilities for robust supplier .

Recent Developments and Future Outlook

Post-2023 Modernization Efforts

Following the establishment of the Defence Infrastructure Organisation's (DIO) long-term strategy outlined in prior years, post-2023 efforts have emphasized the replacement of outdated (PFI) contracts and the procurement of sustainable upgrades to enhance military readiness and efficiency. In April 2024, DIO initiated the PFI Replacement Programme to evaluate and transition commercial arrangements for 12 expiring infrastructure PFIs, aiming to secure cost-effective, modern service delivery models beyond their contract end dates. This programme addresses legacy arrangements from the early , prioritizing flexible, performance-based contracts that align with evolving defence needs, such as resilient energy systems and digital integration. A key focus has been modernizing single living accommodation (SLA) for service personnel, with DIO awarding contracts in December 2024 for a £1 billion initiative to deliver sustainable housing across the defence estate. This builds on earlier frameworks by incorporating energy-efficient designs and modular construction to reduce maintenance costs and environmental impact. In August 2025, DIO selected four contractors for 10 SLA schemes, allocating initial sites to accelerate delivery of grade 1 and 2 standard accommodations, targeting completion within multi-year timelines to alleviate chronic shortages affecting retention. Concurrently, projects like the ongoing sustainable SLA development at Baker Barracks, Thorney Island, exemplify these efforts through low-carbon materials and enhanced welfare facilities. Infrastructure support systems have also seen targeted upgrades, including a May 2025 tender for £94 million in enabling works at the DIO-managed Northwood headquarters, encompassing a multi-storey car park and site enhancements to support operational expansion. In September 2025, DIO advanced procurement for £3.12 billion in end-to-end water and wastewater services, integrating smart metering and resilience measures against climate risks. Sustainability integration is evident in the October 2025 MOD Sanctuary Awards, where DIO-led initiatives were recognized for conservation and energy reduction across estates, contributing to net-zero goals by 2050. These measures reflect a data-driven approach, with DIO leveraging performance metrics from prior audits to prioritize high-impact investments amid fiscal constraints outlined in the 2025 Strategic Defence Review.

Alignment with National Defence Strategy

The Defence Infrastructure Organisation (DIO) aligns its operations with the UK's of Security, Defence, Development and (2021) and its Refresh (2023) by prioritising the modernisation and resilience of the defence estate to support enhanced warfighting readiness in a contested geopolitical environment. DIO's Strategy for Defence Infrastructure, published in January 2022, explicitly strengthens long-term estate planning to underpin the ambitions outlined in the , including the "tilt" towards the and increased investment in high-end capabilities. This involves rationalising underutilised sites, upgrading training facilities, and ensuring infrastructure supports rapid deployment and sustainment of forces, thereby contributing to the UK's goal of a "maximum credible deterrence" against state-based threats. In response to the Refresh 2023, which emphasises resilience against hybrid threats and vulnerabilities, DIO has focused on enhancing infrastructure support for logistics and operational sustainment, including through the Defence Support Modelling and Analysis Framework. This framework assesses DIO's contributions to defence outputs, ensuring that estate management adapts to volatile global conditions by improving asset utilisation and reducing dependencies on fragile overseas bases. DIO's efforts in this area directly enable the military's ability to generate forces at scale, aligning with the Refresh's call for a more agile and expeditionary force posture. The 2025 Strategic Defence Review further integrates DIO into national strategy by directing investments towards infrastructure mobilisation and industrial resilience, including a £1.5 billion allocation for upgrading Service Family Accommodation to bolster personnel retention and readiness. DIO's role in delivering these priorities—such as accelerating construction of hardened facilities and partnering with industry for rapid scalability—supports the Review's emphasis on domestic defence production and deterrence against aggression from adversaries like and . This alignment underscores DIO's function as an enabler of , with ongoing projects aimed at aligning estate capabilities with the Review's target of 2.5% GDP defence spending by 2030.

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