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Swindon homeowner found to have breached shared ownership lease terms
By Swindon Now Editorial Team · Published
A Swindon resident has been found by a tribunal to have violated her shared ownership agreement by sub-letting her property without authorisation.
A Swindon homeowner has been found to have breached the terms of her shared ownership lease after she sub-let her property to cope with financial pressure. The case, which was heard at the First-Tier Tribunal Property Chamber, involved a property at Blacksmiths Forge in the Old Core area of Swindon.
The leaseholder, Alison Hall, admitted to the tribunal that she had sub-let the property in violation of the agreement originally signed in 2005. The lease for the home contains a strict prohibition against underletting the property, whether in part or as a whole, except under specific circumstances such as formal mortgage arrangements.
The tribunal heard that Ms Hall had moved away from the property after entering into a relationship. She stated that the home had fallen into negative equity, making it impossible to sell without incurring significant financial losses. To manage rising mortgage costs and service charge liabilities, she initially allowed an individual to rent a room in the flat. Following the start of the Covid-19 pandemic, she began sub-letting the entire property.
The breach was identified by the developer and housing association, Aster Communities, following a routine inspection in April 2025. During this visit, inspectors discovered a tenant occupying the flat rather than the leaseholder. The tribunal report noted that Ms Hall was described as a reluctant landlord, having acted out of financial necessity rather than profit-seeking motives, and was not found to have acted in a dishonest manner.
Despite the circumstances, the tribunal ruled that a breach of the lease had occurred. The report also included criticism of Aster Communities, noting that they had not contacted Ms Hall directly about the suspected breach before commissioning costly professional investigations. The tribunal suggested that a direct, earlier approach might have resulted in a resolution without the need for a formal tribunal hearing.
The tribunal has granted Ms Hall an opportunity to apply for orders that could prevent the housing association from passing on the costs of the legal action through service charges. The outcome of these cost orders is yet to be finalised.
This case serves as a stark reminder for local homeowners in shared ownership schemes to carefully review their lease agreements. Prohibitions on sub-letting are common in such contracts, and owners facing financial hardship are encouraged to communicate directly with their housing provider to explore permitted options before taking steps that may violate their legal obligations.
Source: Swindon Advertiser - Lifestyle · View original