“Nearly half of students (48%) report that they are financially struggling while at university. This represents an improvement since our 2023 cost of living research, when 64% said they were finding it difficult to manage financially. Of those surveyed this year, 9% lived at home with parents / carers compared to 20% in 2023 – which doesn’t indicate that this is a factor in the percentage change.”Youth Forum 14: HOW IS THE RISING COST OF LIVING IMPACTING STUDENTS?
The rising cost of living continues to reshape the reality of student life across the UK. The latest Youth Forum report from The Property Marketing Strategists, sponsored by Utopi, offers a detailed look at how students are coping financially, how they’re choosing accommodation, and the everyday pressures they’re navigating.
While some indicators have improved since 2023, the findings make one thing clear: students are still feeling the squeeze, often in ways that influence where they live, how they budget, and what support they rely on.
Below is a quick overview of the key findings — and three standout stats every university, accommodation provider, and student-facing organisation should be paying attention to.
A Snapshot of Student Finances in 2025.
Nearly half of students (48%) say they are struggling financially while at university — a marked improvement from 2023, when 64% reported difficulty managing money. But this doesn’t mean life has become more affordable; instead, students appear to be structuring their finances differently. Many now rely on a patchwork of income sources, including parental support, scholarships, and personal savings, to stay afloat.
At the same time, fewer students are taking on part-time jobs than in previous years. With only 39% currently employed alongside their studies (down from 60% in 2023), the student income landscape is shifting in ways that may have long-term implications for financial resilience.
Accommodation: The Push and Pull Between Cost and Convenience.
Rent continues to be a major source of pressure, and accommodation decisions are more complex than ever. Students are balancing affordability with location, often forced to compromise on one or the other.
The desire for simplicity is strong: students overwhelmingly prefer rent that includes bills, reflecting a broader wish for predictable expenses and streamlined budgeting. Surprise costs — especially laundry, travel, and utilities — continue to catch students off guard and can shape housing choices more than expected.
Research habits vary widely, with some students entering the market with a clear budget and others admitting they did little or no preparation before signing a contract. Notably, almost half end up spending more than they intended.
Three Key Stats Every Sector Leader Should Know.
- 48% of students say they are struggling financially: While an improvement from 64% in 2023, nearly half of all students still report finding university life financially challenging. This continues to be a core pressure point that shapes academic, social, and wellbeing outcomes.
- 76% would prefer their rent to include all bills: Affordability is important, but predictability is becoming non-negotiable. The overwhelming preference for all-inclusive rent highlights a growing need for transparency and simplicity in student accommodation offerings.
- 48% spent more on accommodation than planned: Nearly half of students exceeded their rental budget, driven by location pressures, rising market prices, and limited availability. This single statistic has implications for student retention, wellbeing, and equity of access to higher education.
What This Means for the Student Sector.
The findings signal a sector at a tipping point. As financial pressures rise, students are adjusting their expectations, income strategies, and accommodation decisions — but many are still being caught out by hidden costs and market realities.
For universities and accommodation providers, this represents a clear call to action:
- Increase transparency by communicating costs earlier and more clearly
- Highlight bill-inclusive options and cost-saving features
- Educate students on real living costs, including those often overlooked
- Support informed budgeting through tools, guides, and financial literacy resources
- Invest in accessible, affordable housing — especially in high-demand locations
By closing the information gap and reducing unexpected costs, the sector can directly improve the student experience at a time when financial strains remain high.