Students seeking accommodation for their second year and beyond are struggling with affordability, with 7 out of 10 forced to revise their rental expectations upwards during their search, according to new research from housing charity Unipol.
The comprehensive House Hunting Behaviour Survey 2025, which captured responses from over 2,600 students across 37 universities, reveals that the average student faces a £36 per week gap between what they can afford and what they’re expected to pay for accommodation.
Affordability and financial struggles
Affordable rent was the key consideration for 76% of respondents, far outweighing other factors, including proximity to university (61%) and the inclusion of bills (46%).
The survey reveals the extent of students’ financial struggles:
- Almost two-thirds encountered affordability issues when searching for accommodation
- 71% had to increase their rental budget during the search process
- 53% face some level of financial strain, with 23% describing their finances as “a constant worry”
- The average parental contribution is £506 per month – highlighting the crucial role of family support
- 57% of students work while studying, averaging 15 hours per week.
The Student Accommodation Landscape
The Unipol survey found that 45% of returning students seek accommodation in the HMO (Houses in Multiple Occupation) sector, with houses shared between students remaining the preferred option. Interestingly, the most sought-after room type was an en-suite room in a shared house – a product that may have become more popular as a result of student experiences with this type of room in PBSA.
Just over one in five returning students said they were looking for PBSA or university-run housing. Unipol notes that “making friends and socialising may not have the same meaning for returning students compared to first years, and PBSA is seen as a sanctuary for many, enabling a convenient way of living to be achieved with predictable costs, and without negotiation with housemates in quite the same way as in a house.”
Those considering PBSA had different preferences from the wider student body – very few attached value to large communal areas or leisure amenities such as cinemas, with only around 4% citing these as a priority. This shift in accommodation priorities beyond the first year has consequences not only for the types of spaces that are likely to appeal to returning students but also for how PBSA is marketed to them.
Employment and Financial Support
The research reveals how students are increasingly reliant on multiple income streams:
- 68% receive maintenance loans
- 56% get family financial support
- 41% earn income from employment.
Students working all year round were most likely to experience financial strain (64% compared to 53% overall), with 29% describing finances as a constant worry. Those without work but with family support were more financially secure, receiving an average £744 monthly from parents compared to £432 for those working during vacation periods.
Notably, the survey revealed that students are not meeting the Minimum Income Standards – the amount of money a student would need to have an acceptable standard of living – identified in recent research by the Higher Education Policy Institute (HEPI), despite working longer hours than the recommended guidelines.
Commuting as a cost-saving strategy
Perhaps the clearest sign of the affordability crisis is that 22% of respondents expect to commute more than 30 minutes to university. Of these, half (52%) chose longer commutes specifically to find cheaper rent, while 22% were forced into longer journeys because no properties were available closer to campus.
However, commuting students face costs beyond transport, with 60% of commuting students reporting that their journey has a moderate negative impact on their overall university experience.
Looking forward
The Unipol report has a number of suggestions for universities and PBSA providers moving forward:
Universities
- Universities are urged to act on affordability by ensuring a mix of price points, including refurbished or repurposed buildings, to keep accommodation accessible. As widening participation grows, maintaining a “ladder of rents” will be critical to supporting students from varied backgrounds.
- The report highlights that better information and guidance are also essential, and universities should prepare students early with advice on budgeting, group formation, contracts, and navigating the market. Support will also be needed as renting becomes more uncertain during upcoming regulatory changes as a result of the Renters’ Rights Bill.
- Unipol also recommends that universities recognise the role of commuting students, expanding facilities like commuter lounges and occasional-stay rooms.
PBSA Providers
- PBSA providers are urged to diversify their offer for returning students who place less value on facilities such as cinemas and social spaces, and more on affordability, convenience, and predictable costs.
- PBSA developers are urged to explore creative approaches such as repurposing office blocks or high street buildings to bring lower-cost stock online.
