Influencing rent costs on your campus Jo Goodman, NUS

Session objectives: Understand some of the history of student accommodation Consider what it is for Establish strategies you can use to influence rent-setting at your institution Hear from two unions on what they’ve been doing

Student accommodation – a history 13th Century: Students lived where they could “in taverns, private homes or wherever they could find them, or in the ephemeral houses, halls or hospices hired by some ‘regent Master of Arts’” Harold Silver, 2004 Student behaviour largely unsupervised and undisciplined causing friction between students and communities – riots and disturbances

Student accommodation – a history 16th Century: Accommodation seen as part of the role of the college in moulding students and forming part of their moral and academic experience Accommodation intended as an extension of study space and brought more areas of student life under the purview of the institution

Student accommodation – a history Mid 20th century: Seen as critical factor in student success and very desirable despite shortage of money post WWII University Grants Committee saw it as desirable “for common life and for the interplay of mind upon mind” 1960’s – backlash against control, change to age of majority

Student accommodation – a history 1990s onwards: HE expansion – HEFCE grants no longer included accommodation subsidies Many universities turned to private finance and partnerships with private providers Marketing comes into play more

What is student accommodation for? University Grants Committee 1957 found itself “unable to resolve questions about halls without first having ‘a concept of the purpose of a university’” Question: How does your institution view accommodation and how does this fit with how it considers itself?

How does your institution view accommodation? ‘Brand’ ‘World leading’ ‘Affordable’ ‘Character’ ‘Demand’ ‘High end’ ‘Top of the range’ ‘Marketable’ ‘Student lifestyle’ ‘Meeting expectations’ ‘Free’

Questions to ask… How does the institution’s accommodation strategy fit with its widening participation agenda? Does accommodation subsidise other areas of the institution? Is more expensive accommodation used to subsidise affordable accommodation? Are accommodation bursaries available?

Background The most recent edition of NUS/Unipol Accommodation Costs Survey showed cost of living in halls has doubled in the past ten years NUS Pound in Your Pocket research showed over fifty per cent of students regularly worried about meeting basic living costs such as rent Changing student numbers and increase in private provision has led to an increasingly competitive and fluctuating market

Accommodation Costs Survey Research conducted every 2 – 3 years by NUS and Unipol Aimed at institutions and private providers of purpose-built student accommodation (or halls of residence) The most recent survey covered around 85 per cent of bed spaces There have been huge changes in recent years to: The level of rent charged The types of room on offer Who is providing these rooms

Rising rents: 2006 - 2012

Rising rents: Common room types   Institution Nomination Private Self catering single £97.08 £97.05 £98.31 Self catering en suite £122.81 £119.99 £122.33 Studio £134.40 £160.58 £188.09 Average annual rent across all providers and room types was £5,244.04

Rising rents: By region

Room types on offer

Room types on offer – by provider type

Homes Fit for Study Research undertaken last academic year, released in March Almost 7,000 HE respondents Assesses the state of student housing in the UK

Housing costs Q. How much do you contribute to monthly rent or mortgage payments? Source: Homes Fit for Study (2014)

Key motivations across the sample Location convenient for place of study (56 per cent) Affordability (37 per cent) Ease (32 per cent) Q. Why did you choose to live in this type of accommodation during your studies? Source: Homes Fit for Study (2014)

Source: Homes Fit for Study (2014)

It was the easiest option Key motivations - PBSA It was the easiest option The location was convenient to get to my place of study I wanted to be able to meet other students Q. Why did you choose to live in this type of accommodation during your studies? Source: Homes Fit for Study (2014)

Less common motivations - PBSA It was more affordable I wanted to live with friends I needed to live with my family Q. Why did you choose to live in this type of accommodation during your studies? Source: Homes Fit for Study (2014)

Demographic differences More likely to live in PBSA Less likely to live in PBSA First-year undergraduates Returning undergraduates Masters level students PhD students Younger students Older students Full-time students Part-time students International students Home students Non-disabled students Disabled students Students with caring responsibilities Source: Homes Fit for Study (2014)

Satisfaction in PBSA Satisfaction indicator Institutional accommodation Private developments Good value for money 45% 50% Good condition 72% 75% Adequate space 71% 74% Made the right choice 69% Feels like home 56% 54% Feel involved with other students 57% Engage effectively with my course 43% Feel part of the local community 31% Q. To what extent do you agree, if at all, with the following statements? Source: Homes Fit for Study (2014)

Concern about living expenses Of those living in halls, students in quintile 1 are 50 per cent more likely to work over 16 hours per week than those in quintile 5. In the broader sample, they are 21 per cent more likely to work this many hours. Source: Pound in Your Pocket, NUS (2012)

Key questions to consider What would a progressive rent structure look like at your institution/in your town? Is the rate at which accommodation costs have risen at your institution/in your town in recent years in line with inflation/student support? Are you involved in the rent setting process and your institution’s future development plans? Which arguments can you utilise to best effect? Consider both the welfare case and the business case.

Building your case Welfare case Business case Risk of causing hardship Rising faster than student support Harder for students to find work Families likely to be under increased pressure Can present a barrier to access Limits choice of students who are less able to pay Opportunity to join up with widening participation strategy Not all students have access to bursaries and rent waivers: e.g. estranged students, disproportionately likely to affect LGBT students Cost concerns may affect choice of institution 59 per cent of international students think accommodation cost is ‘very important’ Increasing private provision means greater competition Private providers likely to market aggressively Returning students likely to be more cost sensitive

Planning your campaign Analysing the issue Investigate rents and rent setting process Compare and contrast Consider diversity of membership Consult members Developing your strategy Map stakeholders Develop your ask Look beyond headlines Prepare to compromise Consider tactics Think long term Monitoring and Evaluating Plan clear, measurable aims and objectives Assess and demonstrate your impact

If you’re working with private providers The good news: They have an incentive to keep you happy The bad news: They are unlikely to sway far from market rents

A tale of two unions

A few ideas… Attend open days and talk to prospective students about their accommodation choices and budgeting An alternative prospectus featuring students’ experiences of accommodation at your institution Gather students’ experiences of living in expensive accommodation e.g. Kent case study, #RentAche Find out what students like about more affordable accommodation to influence your institution’s future strategy Engage on any partnership or nomination agreements being entered into Work with your student media and local press

Resources Housing How To – Campus Rent Negotiations Accommodation Costs Survey report Accommodation Costs Campaigning Guide www.poundinyourpocket.org.uk Accommodation costs and financial wellbeing briefing Accommodation Costs Social Policy Briefing Each other!

Thank you! Keep in touch: Jo.Goodman@nus.org.uk