David Cameron has announced changes to shared home ownership, widening it so that people can use the scheme more than once.

Those already in a shared ownership property will be able to move to another, allowing them to use the capital they have gained.

Restrictions, such as limiting eligibility to key workers, will be dropped, and from next April anyone earning below £80,000 in England (£90,000 in London) will be able to use the scheme.

Cameron said: “So many people are attracted to this idea, especially those who thought they’d never have a chance of owning a home.

“But, because it’s been heavily restricted, many of those people have missed out. We’ve had local councils dictating who is eligible, based on everything from salary to profession to where the buyer comes from.”

In cheaper parts of Britain, buyers would be able to use Help to Buy to purchase a shared ownership property with a deposit of just £1,400.

In a new report, Leeds Building Society said there were many misconceptions about shared ownership, including that they were difficult to get mortgages on.

Mark Hayward, managing director of the NAEA, said: “It’s welcome news that the Government is putting the proposed plans for expansion of shared ownership into action.

“By relaxing some of the existing restrictions, a potential 175,000 aspiring home owners will be given the opportunity to own their own home, as well as allowing existing shared ownership home owners the opportunity to step up the ladder.”