Over 81,000 UK Students Choose Home Over Halls as Accommodation Costs Surge

More new students are choosing to live at home for university this year than at any point in the last nine years, according to new data from the Universities and Colleges Admissions Service (Ucas)^[1]. Over 81,000 UK 18-year-olds said in their accepted university application that they intended to live at home this year - just over one in three students in that age category^[1].

In 2017, the proportion was closer to one in five^[1]. The figures were recorded on results day and are expected to rise over the coming month as more students accept places through clearing^[1].

The trend varies across the UK, with 48% of applicants in Scotland intending to live at home, compared with 20% in Wales^[1]. However, the direction of travel is upward across all regions.

Accommodation Costs Drive Decision-Making

Students told BBC News^[1] that the rising cost of living was a major influence in deciding whether to move away for university. For friends Beatrice and Amelia, who are from St Helens, Merseyside, the cost of accommodation was a determining factor in their decision to live at home while studying^[1].

Beatrice, who is going to the University of Manchester to study maths, plans to commute by train - a journey which can take about 50 minutes in total^[1]. She noted that the price of accommodation would have been "a few grand a year"^[1].

Amelia, who is going to study at Liverpool John Moores University - approximately 20 minutes away by train - says the accommodation she found was between £300 and £400 a week^[1].

Earlier this year, BBC News^[1] followed the daily journey of one first-year student who said she was saving over £7,000 on accommodation by commuting 90 minutes into Manchester each day from home.

Trade-Offs Beyond Finance

While the financial case for living at home is clear, students expressed concerns about missing elements of university life. Jessica, who is also going to study at Liverpool John Moores University, told BBC News^[1] she would have loved to live on campus and enjoy student life, but described the price of renting as "ridiculous" and "insane"^[1].

"I have a part-time job as everything is so expensive, and then commuting is going to kill a lot of my free time as well," she said^[1]. "It is a bit sad really when you think about it."^[1]

Despite their reservations about commuting, both Beatrice and Amelia said they were still hoping to get the full experience of university while living at home^[1].

Planning Policy Changes as Housing Supply Remains Tight

The shift in student accommodation patterns comes as the government announced new planning powers for mayors across England. On 23 August 2026, housing minister Matthew Pennycook^[2] confirmed that mayors in 13 areas including Manchester, Liverpool, the West of England and the West Midlands will gain powers to overrule local councils on planning decisions involving more than 150 homes^[2].

Pennycook said the powers were an "essential part of the toolkit that mayors need to effectively deliver new homes and regeneration"^[2]. In the 2024 general election, the Labour government promised to build 1.5 million homes in England by the end of the decade, but housebuilders have warned the target could be missed^[2].

Pennycook acknowledged the target was "really stretching" but said nearly 180,000 children were in temporary accommodation and "any smaller target wouldn't be commensurate with the scale of the challenge"^[2].

UK Company Register Context

Analysis of the UK company register shows continued property company formation activity across the country, though sector-specific data on student accommodation operators is not yet available from CompanyPulse^[3]. Daily incorporation figures for recent weeks show between 2,000 and 3,300 new companies registered on weekdays, with lower counts on weekends reflecting processing patterns rather than underlying business formation trends^[3].

On 20 August 2026, 2,747 companies were incorporated across all sectors and regions of the UK register^[3]. These economy-wide figures do not isolate property investment flows into specific university towns, and should not be interpreted as evidence of regional shifts in student accommodation investment without more granular data.

Outlook

The structural change in student living patterns may have implications for property investment in traditional university towns, though the extent of any shift in capital allocation remains to be quantified. With 48% of Scottish applicants already planning to live at home^[1], and the trend rising across all UK regions, the market for purpose-built student accommodation in cities without large commutable catchment populations may face particular pressure.

A record number of UK 18-year-olds have been accepted into university this year^[1], suggesting overall demand for higher education remains robust despite the financial constraints driving accommodation decisions.