Ken Livingstone has published his housing manifesto which banks the British Property Federation’s (BPF) calls for greater institutional investment in London’s rental market.

The document said that ‘good quality private rented housing also has an important part to play in meeting housing needs in London’. The BPF has led a much publicised campaign to encourage investment from large institutions into developing a ‘build-to-let’ sector. The manifesto criticises the current quality of some rental accommodation and recommends that institutional investment could improve standards in the sector.

Ian Fletcher, residential director at the BPF, said: “We welcome the focus the London Mayoral election has had on the private rented sector in the capital and this support for a build-to-let sector. It is clear from the current market conditions that many people will still not be able to afford to buy, even if prices continue to fall. The professional rented sector has a key role to play in fulfilling the capital’s housing needs and those across the UK.”

Andrew Pratt, managing director of residential, at Grainger plc, the largest quoted residential property owner and manager in the UK, said: "The mayors housing manifesto shows a positive understanding of the current market and his willingness to work with the property industry to help solve the housing crisis which could be the catalyst in delivering the housing that Londoners deserve. The key element of the housing situation will be supply. There is sure to be a large amount of people needing rental accommodation as fixed-rate mortgage periods end and as home purchase is more difficult to finance. Despite significant structural barriers to institutional investment there are investors that are keen to invest.

“These barriers can be removed by encouraging ‘build-to-let’ projects specifically designed for the rented sector, solutions for which urgently need to be further explored, following which there will be a real opportunity for the professional rented sector to show government how it is placed to offer quality accommodation that families and young professionals need.”