But the organisation warned that the money, announced on June 29, must not be wasted or misdirected.

“It makes absolute sense for the government to target £1.5bn on building more affordable, energy efficient homes,” said Geoff Arnold, chairman of the UKTFA.

“But given the scarcity of resources available to help any industry in crisis right now, this money must be spent wisely and not wastefully.

“It must go to councils, housing associations and developers that can respond quickly and efficiently, and that have the capacity to build good quality new homes to the highest standards of energy efficiency.

Mr Arnold warned councils bidding for these funds to avoid squandering vital cash on “eco bling”.

“Forget about sourcing fancy renewable energy systems to bolt onto leaky, poorly built, high carbon homes.  The emphasis should be on fabric first.”  He said construction standards often dipped after a recession so offsite construction was the best method to ensure quality and speed of build.

“We will be taking this message to all local authorities and developers and inviting them to see for themselves what a difference they can make by using timber frame.”

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