Council tax rises of up to 6 per cent have just been announced for this April, which could see average charges soar by an extra £100 per month. There is likely to be an immediate impact on private property rentals. Tenants who already struggle to meet their monthly payments look set to face even greater financial hardship. Included amongst the squeezed, will be many UK students, and those international students who either didn’t apply or were unaware of homestay accommodation, the affordable, family-hosted rent-a-room scheme.
The announcement of the Council tax increase follows surveys in 2017, which revealed that average fees at halls of residence rose by nearly 14 per cent between 2012-13 and 2016-17. During the course of 2017, more than 17,000 students living in university halls of residence fell behind with their rent payments – a significant rise of 16 per cent, according to new figures obtained under the Freedom of Information Act. Nearly 100 students were evicted from halls of residence – more than twice the number who were forced to leave their rooms in 2016.
Increasing financial pressure when renting
International students from ordinary backgrounds studying in the UK have continually faced increasing financial pressure when renting from private landlords. At the start of the 2017-18 academic year, new research by Savills, Estate Agents found that students were paying £280 – £500 per week for a single room, i.e. studio apartment. An increasing number were also unable to provide a UK guarantor to secure accommodation, which may be still be required even if they paid their deposit and the initial rent period in advance. Those international students without a UK guarantor (in London) would then face having to pay up to £26,000 as security.
Overseas students continue to want to study in the UK, despite of an apparently ever-increasing list of potential obstacles, including rising college fees and private rental payments, Tier 4 Visa applications, proof of sufficient funds, guarantors, work permits and the uncertainties surrounding Brexit. In fact, a UKCISA report released after the June 2016 referendum showed that the UK remains the second most popular destination for international students in the world, after the USA, but ahead of Australia, New Zealand and Canada.
Despite some reduced numbers, most notably, from Indian students, applications to study in the UK have remained the same or in some cases, had increased, for example, from Chinese students. The number of students – from both within and outside the EU – was shown to have risen over a 2-year period, according to the latest report from the Higher Education Statistics Agency (HESA). Furthermore, surveys indicate that the number of international students is expected to rise by an annual 6 per cent up to 2020, at least.
Despite the rising numbers, not all international students come from the same backgrounds. Many will be simply unable to afford the growing financial burden or indeed, deal with the stress as the bills mount up every month. The news over the Council Tax rise could see many students face stiff rent rises in London and other major university towns, such as Brighton, Bristol, Cambridge or Manchester.
Affordable, safe and secure environment
The good news is that there is an alternative to the now, almost impossible struggle for a young student to live and study in private rented accommodation, or even at a halls of residence. Homestay accommodation continues to be the only real solution for students from abroad looking for an affordable, safe and secure environment – without the stress caused by finding the money to pay the monthly bills.
A hosted rent-a-room scheme offers many practical benefits, especially as a “stepping stone” for those young students living away from home for the first time. Whether as a single person or part of a group accommodation, a meal plan can be selected to suit a student’s particular needs, from Bed & Breakfast to Bed, Breakfast & Evening Meal, known as Half Board, which is usually eaten with the family. Laundry is also taken care of and the room is cleaned every week.
Considerable care is taken by the hosting organisation to match the host family with a student’s preferences by visiting all homes to ensure that they are suitable. In this way, many potential misunderstandings and disputes can be avoided in advance or promptly resolved if they happen unexpectedly.
The founding principle of a family hosted rent-a-room scheme is to enable a student to simply relax and focus on their studies without any of the unwanted outside pressures that increasingly threaten to disrupt their once in a lifetime opportunity to study in the UK.