The Federation of Master Builders (FMB) has supported a call by the Local Government Association (LGA) for a resurgence in council house building.

The LGA stated "bold new action" is needed in the housebuilding industry following the economic uncertainty resulting from the UK's decision to leave the European Union.

With the Government reaffirming its ambition to building one million new homes by 2020, Brian Berry, Chief Executive of the FMB, has urged Government to allow local government to "take a leading role" in building new homes.

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"At present, for every £1 spent on house building by the Government, roughly £4 is spent on housing benefit," he said.

"By increasing public spend on house building, homes will become more affordable and at the same time, significantly decrease the housing benefit bill. With uncertainty beginning to weigh on the private sector, as evidenced by the negative construction statistics released earlier this week, support for a significant upscaling in social house building would send out a strong, reassuring message."

(LM/CD)