A new housing development
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Legal and General to invest in 'affordable housing'

Insurer Legal and General, which has already invested around £1bn in student accommodation, is now planning to build retirement homes.

Its chief executive Nigel Wilson told the Today programme's Justin Rowlatt that the Treasury has changed regulations to allow pension funds and insurers "to invest in infrastructure instead of investing in foreign bonds."

He added that the company now planned to invest in "affordable housing, including long-term care and urban villages, for retired people."

He hoped it would add to the UK's housing supply and prevent the recent "excessive house price inflation" the country has seen.

First broadcast on BBC Radio 4's Today programme on Tuesday 24 December 2013.