The recent English Housing Survey, commissioned by the Department for Communities and Local Government, shows the need for more private renting, according to the British Property Federation.

Figures show just 67.9 per cent of English households now own their home, the lowest percentage since 1991.

There was a decrease in the number of owner-occupied households from a peak of 14.8 million in 2005 and 2006 to 14.6 million in 2008-09.

In contrast, the number of households renting privately surged by one million since 2001, from 2.1 million to 3.1 million in 2008-09. Private rented sector housing has accounted for almost all household growth over the past decade, with 1.1 million additional households in the sector than in 2000.

The private rented sector is up from 13.9 per cent of households in 2008 to 14.2 per cent in 2009.

There are almost as many families with children in the private rented sector as there are in the social rented sector.

The latter is dominated by retired people and lone parents.

Only 11 per cent of private renters are dissatisfied with their accommodation, compared with 16 per cent of social renters, and there are twice as many people in full-time work renting privately as in social renting.

The British Property Federation wants to see a more professional rental market emerge like that enjoyed by Europeans and Americans, where large rental blocks exist, much like retail parks or hotels.

The industry body says this will improve quality and choice.

Firms like Aviva have been reported as being ready to step up with investments in large rental pilots, backed by the Homes and Communities Agency and the Mayor of London.

But, worryingly, millions are living in non-decent homes. The report says that 33 per cent of households are "non-decent".

This equates to about 20 million people living in below-standard housing, based on the 7.4 million households the report specifies as "non-decent".