The Housing Corporation must relax its rules in order to boost housing association market-renting schemes, according to a report published on Wednesday.
The study, by the Joseph Rowntree Foundation, found that market renting had potential to expand but that the corporation's rules were a deterrent.

Presently, associations are more heavily regulated if market-renting schemes account for more than 5% of their activity and must devote at least half their activities to social housing.

The report recommended that the corporation recognise "the role of housing association market renting in providing affordable housing – particularly where this contributes to regeneration".

The research said there were fewer than 5000 RSL homes let at full market rent.