I think that it's morally right that a local council should do their best to maximise the amount of affordable housing in their area where a proven need for it already exists. Although, I accept that there's room for debate about the best or most affordable ways of achieving that.
(Some commentators are also suggesting that the UK is going to need immigration-fuelled population growth to cope with the topsy-turvy demographic imbalance wherein the pensioners are now starting to outnumber the school-age. Otherwise they'll be no-one to pay those pensions...)