Commissioned to follow up on the conclusions of the Shared Equity Taskforce in 2006, the review looks at the subsequent developments in the market, whether there are any barriers to development, and what can be done to facilitate growth.
The main points from the report were that:
- There has only been one unsubsidised scheme and this had now been withdrawn
- There is private sector interest but companies are currently risk averse
- Investors are wary of taking on house price risk which is inherent in these schemes
- There is no major measure the government could take that would radically transform the scheme
However, on the outlook for private shared equity, the review found a number of factors which suggest there is a reasonable prospect that attempts to establish private shared equity could be renewed once more favourable market conditions return.
Please refer to the CML website for a more in depth look at this issue.
