Social landlords and councils should have to join a national exchange scheme which would allow tenants to move more easily, argues one of Britain's biggest social housing providers.

Circle Anglia said the scheme could benefit thousands and generate hundreds of millions of pounds a year, whilst savings are made for the health and social care system. The social landlord argues that unemployed residents would be able to move for work and that the scheme would allow people to move to care for relatives across the country.

The idea comes after Work and Pensions Secretary Iain Duncan Smith, said he wanted to make it easier for council and social housing tenants to move from the estates in which they are trapped, due to lack of work.

The system would be a national database on which tenants wishing to move could advertise their properties and see other properties that are available around the UK. When a possible exchange was found, the tenant would contact those in social housing jobs, who could then organise the legal paperwork in preparation for the exchange.

Circle Anglia already run an exchange scheme, which around 150 of the country's social landlords are signed up to.  According to figures released by Circle Anglia, there are approximately 500,000 social housing tenants wanting to move, that cannot.

David Williams, executive director at Circle Anglia told the Financial Times: "It is clear there is a large social and economic cost to immobility for people in social housing. With new social housing expected to be cut, it is essential to make best use of the stock we do have."