The next Government must make the construction of new council housing a priority to avoid a crisis, an umbrella group representing not-for-profit housing associations has warned.

The call comes in today's publication by the National Federation of ALMOs (NFA) of its Election Manifesto, which contains key recommendations to the main political parties on welfare support and energy efficiency.

In a reiteration of previous demands for greater investment in council housing to help meet rising demand for affordable housing, the NFA outlined the knock-on benefits of transforming entire communities, supporting local economic growth an improving the lives of individual tenants.

NFA Chair, Sue Roberts, said the association had recognised the financial and economic reality in which an incoming next Government would have to act.

‘We have therefore focused our asks on areas where we believe investment, regulation or a change in the way things operate could help deliver both economic growth and long term benefits, as well as in some cases immediate savings,' said Ms Roberts.

She added: ‘ALMOs are perfectly placed to continue delivering decent, affordable homes with excellent customer focus.'

Separately, the National Housing Federation and g15, which represent London's 15 largest housing associations, have announced the jointly commissioning of a report into the impact of capital investment in affordable housing.

Research consultancy Frontier Economics will issue a report by April into the full social and economic impact of capital investment in affordable housing - in areas such as public health and wellbeing, educational attainment and employment outcomes.
 
A spokesman for the NHF said: ‘We need new feasible funding models to respond to the changing economic and funding landscape, and alleviate the housing shortage.  This work will present robust, targeted and persuasive funding proposals to central and local government.'