How Universities Are Responding to the Student Accommodation Crisis

An illustration of purpose built student accommodation to suggest the student accommodation crisis.

The student housing market is in crisis. As universities recruit larger cohorts year-on-year against continued financial restraints, there are fewer accommodation options available to students due to a variety of factors, including: 

  • A decrease in the expansion of the purpose-built student accommodation (PBSA) market 

  • Landlords choosing to rent to professionals or leaving the market, resulting in a decrease of available shared houses

  • Universities providing reduced accommodation, instead opting to partner with private providers, who have been hit by an investment freeze and planning restrictions in some localities

As a result, there is a surplus of students for the number of housing options available in many cities and towns, with accommodation portal StuRents reporting that 19 university locations are facing more than a 10% undersupply of beds. 

The results of this have been damaging for the sector, with impacts that are multi-faceted. The student experience has been negatively affected, with students reporting distress and poor mental health as a result of the crisis. Indeed, many students facing financial pressure have found themselves having to re-locate further away from campus or even to other cities in some cases, having a negative impact on belonging. This, in turn, can impact retention – a key requirement for universities under the Office for Students’ (OfS) B3 Conditions of Registration. And, on top of all of this, the crisis has received significant media attention, which has been damaging for institutional reputation and public trust. 

We’ve read many stories about students queueing overnight to secure accommodation and universities housing students in not-so-nearby towns and cities as a result of shortages. But what are universities actually doing in response to the crisis to positive effect? 

In this article, we explore 4 ways universities are responding to the crisis. While each institution will be uniquely affected by the crisis depending on factors such as their locality and their student demographics, the hope is that these interventions can be repurposed as solutions by leaders seeking impactful action to support students in these challenging times.

Partnership Working

The student housing crisis is complex because it involves many different parties. From universities to local councils, private providers and the students themselves, there are many stakeholders engaged in resolving these challenges.  

So, it makes sense that a solution must bring together all stakeholders. Collaboration and shared responsibility will be key in delivering actionable solutions. 

In the city of Nottingham, two universities are doing just that. The University of Nottingham and Nottingham Trent University (NTU) are working with the City Council on a Student Living Strategy, which was developed in partnership with the Student Unions of both universities, representatives from resident groups, businesses and other organisations across the city. 

The collaboration has been successful, with work already underway to increase PBSA in the city by 9,500 more bed spaces by 2026. It has also helped each university to better understand their own student demographics better and develop responses accordingly; for example, the University of Nottingham has a large intake of international students, especially from India, who tend to prefer more affordable options than PBSA generally offers. Meanwhile, NTU has a relatively small international student intake, indicating that their student body has different needs and requirements. 

By working together and alongside other stakeholders in the local community, this partnership enables the two institutions to respond effectively to the unique challenges the accommodation crisis presents in Nottingham. It also ensures that the diversity of the student body is respected and responded to when delivering solutions, putting students at the forefront. 

Not only does this strategy respond to the housing shortage, but it also attempts to improve the quality of existing accommodation by listening to student voice and developing a new approach to accreditation across the city. 

By working in partnership with all relevant parties, this strategy is likely to have long-term, positive implications for students struggling with the housing crisis in Nottingham, and potentially lead to policy changes that can mitigate future issues. 

To find out more about the Student Living Strategy in Nottingham, read Universities UK’s (UUK) case study on the collaboration.

Data, Analysis and Guidance

To mitigate the effects of the housing crisis, universities must develop more research and data regarding their student demographics and the availability of accommodation in their local area. This information, in turn, should be shared with prospective students in an honest and clear format. In the past, institutions have often lacked information on future supply and demand of accommodation. So, it’s essential to build up this intelligence on the housing market to better support future planning. 

There are plenty of examples from across the sector of providers who are already delivering on this recommendation. One is the University of Bristol, who have developed an interactive accommodation map to guide students on how to navigate the private rental market in the city. 

Similarly, in 2022/23, the University of London’s Housing Services developed a Private Housing Guide, which also includes a colour-coded map, sample budgets, resources to source housing options and other useful information about renting in the English capital city as a student. 

Bournemouth University has taken this one step further by developing a unique analysis model that will help to predict what student demand will look like in the future. This has enabled them to provide interventions where necessary. For example, as data indicated that there was likely to be a small accommodation shortfall in September 2022, the university offered a support package for first-year students who were unable to source long-term accommodation by the beginning of the academic year. This included free travel in the city, a monthly payment to help with living costs and a spot on the priority waiting list for university-provided accommodation. 

To find out more about Bournemouth’s analytics model, read UUK’s case study on the initiative. 

As these examples indicate, research and data are fundamental to understanding the needs and risks of your individual student body, while publishing such information and developing relevant guidance for students is also key.

Integrated Wellbeing Services

A major concern as the student housing crisis continues to impact students is how it will affect wellbeing. As is well reported, a student’s living situation can have a significant impact on their mental health and sense of belonging. 

So, if students are struggling to source accommodation and housing options are largely unaffordable, this is likely to put their mental wellbeing at risk. Financial hardship and difficulty finding a home is bound to have a negative impact on mental health, along with a decreased sense of belonging and increased feelings of isolation or loneliness. And, as is well known, all of these factors are known to have a negative impact on continuation, completion and regression. 

In this context, it’s even more important that universities provide excellent wellbeing support that specifically addresses the issues that the housing crisis is creating. 

Universities across the UK are working to better integrate their mental health and wellbeing services with other student services, and housing, estates and campuses are no exception. For example, the University of Bristol’s emergency accommodation is delivered by their wellbeing service. 

Integrating wellbeing with housing support gets significantly trickier when you’re dealing with privately built and owned accommodation, of course. In response to this, Professor Edward Peck at NTU has published information sharing guidance to support universities and accommodation providers where there is concern for a student’s wellbeing and safety. Similarly, UUK’s information sharing guide may also serve as a framework for your approach when it comes to collaborating with private providers on issues relating to student mental health and wellbeing. 

It’s also worth bearing in mind that students may face significant barriers in discussing mental health problems triggered by living situations due to the stigma around discussions of money that still exists. To combat this, NTU have partnered with financial education platform Blackbullion to deliver Money Confessions, an opportunity for students to anonymously share their concerns and stories in a safe, non-judgemental space.  

By centring wellbeing in information, guidance and support around housing, you can capture students who might be struggling due to the accommodation crisis. For further guidance specifically on university accommodation and mental health, see Student Minds’ Student Living Report, which was produced in collaboration with UPP and NTU.

Financial Education and Cost-of-Living Support

The student housing and cost-of-living crisis are intimately linked. Landlords are increasing rents while the price of bills and essentials continues to rise, leaving many students stranded, unable to afford extortionate living costs. 

While students can’t budget their way out of these crises, having the tools to manage and mitigate their effects can be valuable. That’s why committing to tackling the cost-of-living crisis and providing enhanced financial education, guidance and resources is critical in the current housing market. 

Students’ Unions can play an important role in distributing these resources and information. At UCL, the SU has outlined a series of actions it has taken to support students through the cost-of-living crisis. SU has also provided students with a Renter’s Checklist, that helps renters to understand their contract and know how to negotiate it. 

Other universities are also providing similar resources, like the University of Bristol’s tips on the costs of private renting. These kinds of resources are crucial for students who are unlikely to have had prior experience of the private rental market before enrolling at university. 

Finally, some institutions are delivering bespoke workshops, training and support for students who need help managing their finances amidst the housing crisis. In addition to events such as their Money Ready for NTU workshops, NTU selects a series of Financial Capability Champions from across the university who work to promote money management skills to students, co-creating workshops and providing content for marketing campaigns. Similarly, the University of Exeter offers budgeting workshops that are delivered by their SU at the same time every Monday. 

Ensuring students feel confident and well equipped to face the challenges of the cost-of-living crisis will support them to make informed decisions about their living arrangements, and may ward off some of the negative impacts the housing crisis is having on experience, satisfaction and wellbeing.

Delivering System-Wide Solutions

There is no one-size-fits-all approach to respond to the student housing crisis. Each institution will face a unique series of challenges depending on variables such as location, student demographics and type of campus.  

As the examples in this article demonstrate, providers are clearly making strides in supporting their students through what is undoubtedly an extremely challenging financial climate. However, these interventions will need to be monitored and evaluated, so we can better understand what works. And, as the market is in a state of flux, providers should frequently review and respond to the current demand for housing, while attempting to also predict what it might look like in the future. 

To find out more about how providers are responding to the student housing shortage, join us for the virtual conference, Student Accommodation Crisis: Delivering System Wide Solutions. Click below to find out how you can attend this event and many more by joining HE Professional.

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The Cost-of-Living Crisis is Here to Stay – What Can We Do Long-Term to Support our Students?