The government’s quest for more high-density housebuilding could add £14,000 to the construction costs of each home, a new study has found.

Published last Friday by the London Housing Federation, the report found the facilities needed to make such housing work, such as play areas for children and rubbish chutes, can add between £2100 and £14,400 to the cost of building a home, excluding land costs.

The research, carried out by consultant Walker Management, established that making more efficient use of land by building at high densities should “more than compensate” for the extra cost of high-density developments.

But it warned that developers needed to factor the additional spending at an early stage.

Berwyn Kinsey, director of the London Housing Federation, said the extra costs of building more homes on smaller plots of land should be taken into account when funding for projects was allocated.

He said that it was important for high-density projects to receive funding for proper amenities, for example play areas.

“If you do not have these facilities you are setting up problems for the future,” he said. “We say yes to high density but only when it is done right and doing it right costs money. If you get it wrong you get the situation you have with 1950s’ and 1960s’ [estates] where you are pulling them down in 30 years’ time.”