Legal & General (LGC) has announced the launch of its modular housing business.

The Legal & General Homes division will seek to 'modernise the home building industry' by creating factory manufactured houses at its newly leased warehouse in North England.

Around 400 to 500 people will be employed at the 550,000 sq ft factory in Sherburn-in-Elmet, with the first modular houses expected to be created in June.

A range of housing can be created at the facility, ranging from 20-storey apartment blocks to rows of terraced, semi-detached and detached houses.

Time spent building on site will be reduced by over 70% compared to traditional techniques, manufacturing sections in advance and delivering them to the site to be installed.

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With 250,000 new homes per year are needed to address the UK's housing crisis, LGC said its thousands of modular homes will help tackle the problem.

It added the customer response to its modular housing has been 'extremely positive' from developers.

Paul Stanworth, MD of LGC, said: "Sustainable, durable modern materials and proven technology will enable us to create high-quality homes meeting a wide range of housing needs and help solve the UK's housing crisis.

"Modern modular housing in the UK has so far been restricted to the top end of the market: the scale of our Sherburn facility will enable many more people to benefit from new, environmentally-friendly construction techniques which have already become mainstream in Europe."

Tom Ground, Chief Executive of LGC Homes, added: "Legal & General Homes aims to deliver a new solution to the problems we face in the UK, addressing the shortage of suitable, affordable and sustainable housing by manufacturing higher quality, energy efficient, lower cost housing."

(LM)