Currently recruiting figures have gone through the roof (mainly due to the recession), and I believe there are now waiting lists for ATRs (and consequently phase 2 training establishments) so there may be some truth to it.
Basically yes this is true. The Army has done very well at recruiting at the moment and the pipeline is primed to fill the majority of Phase 2 planned courses. This means that there are reduced opportunities to reallocate at Phase 2.
There are a couple of CEGs that are still accepting Phase 2 reallocations, including the infantry. If you do fail your course and canât be found a reallocation CEG that you are willing to accept then discharge is the only other option.