Student Financial Strain and Housing Costs: Barriers to Higher Education and Social Mobility

As the cost-of-living-crisis intensifies, it has created a significant financial burden on university students, especially those living in the cities with buoyant housing market. With the expansion of the higher education sector, student housing shortages and high rents have become major issues. Compared to the rent increase in major cities, for example, the amount of student loans has not increased at the same rate. According to the 2024 Student Money Survey, average Maintenance Loans fall short of covering living costs by £500 per month. Consequently, many students are forced to move to the periphery of cities in the search for cheaper rents, while others rely heavily on income from part-time jobs, often working excessive hours. For those fortunate enough to have family support, parental financial backing plays a pivotal role in securing accommodation. This dynamic, however, exacerbates existing social inequalities, as students from wealthier backgrounds are more likely to afford housing in more expensive cities or better-quality accommodation, potentially leading to better experiences and academic outcomes.

In this context, this paper explores the intersection of student housing affordability, financial stress, and intragenerational inequalities. Through the lens of social and spatial justice, it examines how housing costs and student finances shape access to and experiences in higher education in different parts of the UK, particularly for students from lower-income backgrounds. The theoretical framework links housing affordability to broader issues of social mobility, illustrating how family wealth can dictate not only the quality of student accommodation but also the opportunities for pursuing higher education or their success. The findings raise critical questions about the role of housing in perpetuating educational and economic inequalities and highlight the need for policy interventions to ensure equitable access to education regardless of a student’s financial background.