The deal will see modular specialist ilke Homes deliver 750 factory-built units.

Places for People is a major backer of off-site manufacturing to “speed up delivery, improve quality and fend off a construction skills crisis.”

Minister of State for Housing, Kit Malthouse said: “This is excellent news as the UK blazes a trail in the modern methods of construction that are transforming home building.

“Today’s announcement supports our urgent mission to deliver more, better and faster home construction to ensure a new generation can realise the dream of home ownership.”

David Cowans, chief executive of Places for People, added: “We are a market disruptor becoming more active in the adoption of MMC; partnering with a proven modular business such as ilke allows us to create more affordable, well-designed homes across the country – speeding up delivery, cutting cost and giving our customers unrivalled choice and quality.

“This is just the start for offsite manufacturing and as placemakers, we are going to invest even more in modular.

“We will implement efficient processes and new design techniques which not only raise the bar for the industry – but crucially, give people across the country affordable homes to live in.

“Our partnership is about pioneering a new way of delivering homes and disrupting the market through making socially-responsible decisions and working with best-in-class partners to improve quality, speed up housing delivery and minimise environmental impact.”

Dave Sheridan, executive chairman at ilke Homes, said: “Ride-hailing apps have replaced standing in the rain to flag taxis, so it makes sense that we embrace the benefits of manufacturing homes in dry factories.

“A mature OSM market could create an “Uber moment” for construction, speeding up delivery, cutting cost and giving our customers unrivalled choice and quality.

“Our deal with Places for People will help continue to grow our capacity and is a huge vote of confidence in modular housing and Homes England deserves huge praise for its entrepreneurial approach to accelerating delivery.”