Students are facing a housing crisis as their accommodation costs have risen by 14.6% in the past two academic years, leaving them with virtually no money for other essentials, a report reveals.
The research, published by the charity housing provider Unipol and the Higher Education Policy Institute (HEPI), a think tank, shows that the average annual rent for student accommodation in England is now £7,566 for this academic year.
That's almost equal to the £7,590 value of the average maintenance loan.
This means that students have only £24 left from their loan, which equates to 50p per week, to cover food, travel, books and other expenses.
'Student housing has reached a crisis point'
Victoria Tolmie-Loverseed, Unipol's assistant chief executive, said: "Student housing has reached a crisis point in affordability, underpinned by these alarming figures.
"Rents are rising rapidly just as real-terms government support has stagnated.
"With rents consuming unhealthy levels of an average maintenance loan, students are being forced to take desperate measures – illegally doubling up in rooms, taking on increasing amounts of paid work or even avoiding university altogether due to costs."
She added: "Failing to address the student housing crisis risks undermining decades of progress in widening participation in higher education.
"We risk excluding those from poorer backgrounds, forcing middle-income students to take on unsustainable debts, and damaging the student experience for all."
The average student rent
The report also shows that the average student rent accounts for 76% of the maximum maintenance loan available to students.
The data used for the research is from both universities and providers of purpose-built student accommodation (PBSA).
The report also found that the cities with the most undersupply also have the highest rents.
Since the research excluded London, Bristol has the largest annual average rent in the UK for student accommodation at £9,200 per year, followed by Exeter at £8,559 and Glasgow at £7,548.
Glasgow is home to the highest rent rise at 20.4%, followed by Exeter (16.1%) and Nottingham (15.5%).
Rises in student accommodation costs
Other notable rises in student accommodation costs were seen in Leeds (up 14.7% to £7,627) and Bournemouth (up 11.2% to £7,396).
Meanwhile, Liverpool, Cardiff and Sheffield are the most affordable with annual rents of £6,400-£6,600 and lower annual rises.
The reason for lower rent rises is down to a healthier supply of properties in these cities.
Urgent action from policymakers and providers
The report calls for urgent action from policymakers and accommodation providers to address the student housing crisis.
It recommends increasing government support for students through grants or loans and improving the regulation and transparency of PBSA.
There's also a call for encouraging more affordable development through incentives or subsidies and enhancing student choice and welfare through better information and guidance.
Nick Hillman, a director of HEPI, said: "Compared to years gone by, we are now in a crisis. Across most of the UK, the official levels of maintenance support simply do not cover anything like most students' actual living costs.
"In the short term, maintenance support should be increased at least in line with inflation.
"In the medium term, Ministers should rebase maintenance support using the evidence they've gathered as part of the Student Income and Expenditure Survey, which is due to be published soon."
He added: "For the longer term, we need measures to encourage the supply of new student housing, which is currently restricted by factors such as higher interest rates and confusion over new regulation."
'What most student landlords will already know'
The managing director of Accommodation for Students, Simon Thompson, said: "The report underlines what most student landlords will already know - student rents have risen, along with their costs.
"The maintenance grant does need to be increased and there needs to be more student accommodation to help control rent rises - but where will this come from?
"Demand from students to rent a property is growing and we will soon be reading about students having to queue overnight to sign up with a landlord."
He added: "The student accommodation sector needs some serious attention from the government because it looks like things will get worse before they get better."
