A thread on the @HousingMagazine article – below - outlining housing associations' responses to Gov proposed reforms of #SharedOwnership.
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@Gavhollander https://www.socialhousing.co.uk/news/news/government-proposals-on-shared-ownership-could-make-tenure-unviable-say-leading-ha-ceos-68748

First off, I agree that offering home-buyers the ability to purchase an equity stake as low as 10% is misguided. For many reasons, not all mentioned in the article.
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But what’s particularly interesting are the explanations by Matthew Bailes, CEO of Paradigm Housing & Mark Washer, CEO of Sovereign Housing of how profits made on #SharedOwnership units are used to cross-subsidise other forms of social housing.
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@MW_Sovereign @MB4Paradigm

It’s interesting in part because a not-for-profit defence is frequently used to counter criticisms by shared owners themselves of the #SharedOwnership scheme. A good example being @KateNHF in the recent @BBCPanorama programme ‘The Home I Can’t Afford’.
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@datshiane

Shared owners are sold a promise of affordable home ownership with an implicit message they are the beneficiaries of #SharedOwnership. So it’s a shock when they realise increasingly unaffordable costs are actually cross-subsidising a different social housing model.
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The @natfednews marketing campaign home ownership promise is disingenuous as so few shared owners can ever afford to achieve 100% staircasing (& lease extension). The cross-subsidy model effectively comprises robbing Peter to pay Paul.
@ASA_UK @CMAgovUK
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And made much worse because at least some shared owners are now facing unanticipated charges, financial hardship & perhaps even bankruptcy as a result of trusting the #SharedOwnership ads that promised them a secure, affordable home.
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There’s a fundamental lack of integrity at the heart of #SharedOwnership. Using shared owners to supplement inadequate grant funding for social housing explains but does not justify lack of transparency re whole life cycle costs. No wonder shared owners feel conned.
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