Consumer Duty Product Information Sheet: Shared Ownership product range

We have assessed that:

• Our shared ownership product range continues to meet the needs, characteristics, and objectives of customers in the identified target market.
• The intended distribution strategy remains appropriate for the target market.
• The product provides fair value to customers in the target market (i.e. the total benefits are proportionate to total
  costs.)

The products are designed to meet the needs of the target group, most notably the need to finance the purchase of
their shared ownership home. The product features and criteria are designed to support these needs.

• Fixed and variable rate products
• Free standard mortgage valuation
• Family support options (subject to eligibility)
• Do not credit score, manually underwrite
• Mortgage term to 40 years
• Products allow for some form of overpayments
• Mortgage is portable

Full eligibility criteria can be accessed here.  

This target market assessment matrix segments the target customers for the product, recognising their different needs to enable you to tailor the services you provide when you distribute the product.

The product is not designed for customers who:

1. Are unable to staircase to 100%
2. Are purchasing a property to let
3. Are credit impaired
4. Do not meet our lending or property criteria 

The product is designed for the shared ownership market segment, which is likely to include some customers with characteristics of vulnerability or who will experience vulnerability over time.

FTBs make up a large proportion of the shared ownership market. FTBs are less likely to have a comprehensive understanding of mortgages or the mortgage market. Therefore, they may require additional advice and support to ensure they understand the information being presented to them and the implications of the arrangement they are entering into to reduce the risk of harm occurring.

We considered the needs, characteristics, and objectives of customers with characteristics of vulnerability at all stages of the design process for this product to ensure the product meets their needs.

We have also reviewed the outcomes of the product to assess whether it meets the identified needs, characteristics, and objectives of the target market, including customers in the target market who have characteristics of vulnerability.

We have in place a framework to achieve good outcomes for vulnerable customers, which includes:

• Education and training for our staff to ensure they have the appropriate skills and experience to recognise and respond to the needs of vulnerable customers.
• Suitable customer service provision and communications.
• Flexible policies, where appropriate, to support vulnerable members
• Monitoring to ensure we continue to meet and respond to the needs of customers with characteristics of vulnerability.

Intermediaries should continue to comply with your obligations to ensure that you treat customers in vulnerable circumstances fairly.

Please contact us if you need any further information about how we support the needs of all our customers in relation to the Product.

We have developed an assessment process which evaluates several aspects of our business to determine the value of our mortgage product. This analysis is used to ascertain whether the product delivers fair value for customers.

The outcomes of the assessment process are in line with a Board approved fair value framework, allowing for challenge and further investigation before we sign-off the outcomes and share the summary of our assessment with you.

Results of our assessment

Our assessment concluded that the product continues to deliver fair value for customers in the target market for the product.