Housing minister announces first hike in shared ownership income caps in decade
Summary
The housing minister has announced the first increase in shared ownership income eligibility caps since 2016, raising thresholds to £90,000 outside London and £110,000 in London. The government says the change is intended to keep the tenure accessible while it pursues wider reforms to improve affordability, transparency, staircasing, resales and customer experience across the shared ownership lifecycle.
Why it matters
Shared ownership is a significant part of the low-cost home ownership market, so changes to eligibility, service charges and lease terms can affect demand, valuations and transaction advice. Surveyors involved in sales, leasehold work or block management may also see increased scrutiny of costs, resale constraints and affordability issues affecting occupiers.
Key points
- Income caps for shared ownership will rise for the first time in a decade.
- Government says the scheme still faces affordability, transparency, management, staircasing and resale challenges.
- Phase one reforms focus on customer experience, cost transparency and limits on profit from fees.
- Model lease rent increases of CPI+1% annually until 2036 will remain unchanged.
- Phase two will examine staircasing costs, resale barriers, guidance for owners and buyback arrangements.
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