Britain’s housing landscape is set for one of its most profound changes in more than half a century after pension funds confirmed plans to build blocks of homes for private rental in areas of greatest need.

Much of the building will be in the South East Aviva Investors said that it would plough millions of pounds into purpose-built rented accommodation for those priced out of home ownership. Legal & General confirmed that it too has been in talks with the Government about funding build-to-let developments of up to 100 homes.

Aviva has submitted plans to the Government along with CB Richard Ellis and a US property manager to build the rental homes in the South East, where high prices have left thousands of aspiring buyers unable to raise a deposit.

The Times