Students advised to be cautious of accommodation budgets

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Countless students are seen to use more than 50 percent of their student loans on accommodation, while several of them will not be having enough money, according to a survey.

It suggests that twenty-two percent of current and soon-to-be students are seen to use about 51% and 75% of their total loan on housing, and 18% expect to spend between 75% and 100% on somewhere to live.

An additional 17% said they will use all of their student loan and a little extra of their personal money on accommodation.

The study, which asked 770 UK students and university aspirants, found that more than a quarter, or roughly 28% have budgets of between £200 to £400 a month – for accommodation while studying, and one-third of them are budgeting £400 to £600 monthly.

But Uniplaces.com said it had calculated that the normal cost of a room in a hall is £543 per month, which averages to about £135 a week. This figure is based on the prices of halls in 20 institutions.

Uniplaces.com chief executive Ben Grech said, “As we start a new university year, many students will be finalising where they are going to live.

“We’ve found through our research that there is a major discrepancy in the student cost of living across the country, and that while £150 per week may be more than you need in the North, in the South the housing is more expensive and it will push the upper limits of any student’s budget.

“We also found that a lot of young people are relying on their student loans to get them a place to live.”