This technique assumes the operator is OK with taking a few weeks for all users to register the new host key. In the event of a leak, revocation of the leaked key must be immediate. That's why we have CRLs (and OneCRL) and OCSP.
No. I said that changing the key, which must happen, will trigger a warning that will scare users away. Which is (partly) why no one uses SSH with non technical populations.
@ WARNING: REMOTE HOST IDENTIFICATION HAS CHANGED! @
IT IS POSSIBLE THAT SOMONE IS DOING SOMETHING NASTY!
Someone could be eavesdropping on you right now!
Then, yes, users will be prompted in the scariest possible language.
Compare this with HTTPS/browsers, which care not a lick if a certificate/fingerprint is different, provided that the certificate is valid and the chain is trusted.