New Census data highlights shifting student accommodation preferences

Newly released Census data show a jump of 16.7% in the number of 16-24-year-olds living in communal establishments between 2011 to 2021. While it might be easy to assume this is simply down to growth in student numbers, figures from the Higher Education Statistics Agency (HESA) tell a different story.

Student numbers have certainly risen over the past decade. The number of student enrolments, including both undergraduates and postgraduates, has increased from 2,503,010 students in 2010/11 to 2,751,865 in 2020/21. But that growth stands at 9.9%, meaning that it is a higher proportion of the student body now living in community establishments, not just a higher number.
“The new Census figures reflect students’ increasing preference for communal establishments. We have seen demand grow over the past decade, particularly for purpose-built student accommodation that offers student renters a more lifestyle-focused approach to their accommodation.”

Graham Hayward, Chief Operating Officer, Housing Hand

In terms of the bigger picture, there are a number of problems on the not-too-distant horizon. According to StuRents, the UK is on track to face a shortfall of around 450,000 student beds by 2025, based on the firm’s analysis of the number of new beds likely to be delivered by that time, compared to growing student numbers.

A range of rapidly shifting factors are also making the situation more complex, according to UK rental guarantor service Housing Hand. CEO Graham Hayward points out that the UK was the first major international education centre to recover from Covid, with competition in Australia and the US lagging behind in recovery terms. This has driven higher short-term popularity in the UK for overseas applicants for university places – a large proportion of whom seek out communal establishments such as halls or purpose-built student accommodation (PBSA) to meet their housing needs.

“Following a couple of years during which universities courted UK-based students more strenuously, due to international travel disruption, the accommodation sector is left racing to catch up with this renewed attention from overseas applicants. It makes sense from a funding perspective, as international students pay higher fees, but there is still also potential for disruption. Let’s not forget that China, which is beaten only by India in terms of the number of students being sent to the UK, is still facing significant Covid challenges.”

Graham Hayward, Chief Operating Officer, Housing Hand