A fire has torn through a coastal town in the Philippine capital, destroying a thousand homes and sending smoke billowing into the sky.

Military helicopters doused the raging orange flames which had taken hold of the closely built slum area of Isla Puting Bato in Manila, on Sunday.

Manila Fire District said around 1,000 houses were burned in the blaze, which is believed to have started on the second floor of one of the homes at around 8am local time.