The Home Builders Federation has warned that Ed Miliband's proposals to cap private rent rises "must not deter potential investment".
Stewart Baseley, executive chairman of the group, said:
Building more new homes is the only answer to solving the problems caused by the country’s housing crisis. New homes are required in all tenures; for people to buy or rent as well as more new affordable homes.
Any new intervention in the market has to be measured against the potential impact on investment and new housing supply.
We would be very concerned about any measures that could damage the private rental sector or buy to let market or have implications for housing supply generally. Any proposals must not deter potential investment.
More top news
Rain will be heavy across Scotland, parts of northern England and Wales tonight - rumbles of thunder are possible waking some of us up.
A report out tomorrow shows energy bills are 5% higher than they should be costing Brits as much as £1.2 billion a year.
Caroline Wozniacki has sparked a sexism row at Wimbledon after saying women do not feature enough on the major courts.