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Government publishes response to the New model for Shared Ownership technical consultation

The government has released its response to the consultation on the implementation of a new model for shared ownership. The consultation sought views on how to best implement the new model for shared ownership to ensure it can be smoothly adopted by providers and lenders, and effectively support aspiring homeowners.

The consultation response outlined a number of changes to create a new model for shared ownership, including:

In addition to the changes outlined above, the government also announced 4 key differences under the new model for shared ownership. They are:

The new model will apply to all homes that receive grant funding via the Affordable Homes Programme. It will also apply to shared ownership homes funded via section 106 contributions, however the government has said there will be a transition period to ensure developments already progressing through the planning process are not adversely affected by the new rules.

Planning obligations are normally agreed between a council, the landowners, and developers in a legal agreement called a Section 106 (S106) agreement. These legal agreements are drawn up to make acceptable a development that would otherwise be unacceptable in planning terms. In Section 106 agreements, the local authority can attach conditions to the planning consent to ensure a development benefits the local area.

For more information on the new model for shared ownership, you can read the government’s full response

Other information:


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