Affordable student rent (1)

Meeting: 
MQT on 2017-12-14
Session date: 
December 14, 2017
Reference: 
2017/4999
Question By: 
Siân Berry
Organisation: 
City Hall Greens
Asked Of: 
The Mayor

Question

Thank you for your response to my question 2016/4145. In your draft London Plan (section 4.17.7) affordable student rent is defined as "a rental cost for the academic year equal to or below 55 per cent of the maximum income that a new full-time student studying in London and living away from home could receive from the Government's maintenance loan for living costs for that academic year." Why is this proportion of income so much higher than the definition of London Living Rent, which is "based on a third of average local household incomes"?

Answer

Answer for Affordable student rent (1)

Answer for Affordable student rent (1)

Answered By: 
The Mayor

The definition for affordable student accommodation was developed through the work of my Academic Forum. It only applies to the cost of renting purpose-built student accommodation (PBSA) and not to rents in conventional housing. PBSA differs from conventional market housing in that the rent charges are for inclusive packages that cover utilities, facilities management and internet access as well as access to communal amenity areas and facilities. The cost of these services and utilities would be in addition to rental cost for a student in conventional housing.  In addition, unlike housing expenditure for the general population, students will only be living in student accommodation for a few years. The assessment of affordability takes into account the temporary nature of a student's time in this accommodation combined with its benefits and the average rents charged in accommodation owned and managed by London universities.