A leading student letting agency has warned that a fall in the number of EU students looking to study at UK universities will have a, ‘significant impact on student rental property demand.’
Online agency StudentTenant says that a 7% decline in the number of EU seeking places at British universities, alongside a 4.3% drop in domestic applications, will lead to these major issues.
This decline is the first from EU students in over a decade.
Official UCAS figures show applications from EU students to enter higher education in England have slipped by 23,120 or 5.6%. In Wales, applications are down by 1,510 or 7.1%.
Northern Ireland meanwhile saw a fall of 930 or 4.5% and Scotland 890 or 1.9%,
StudentTenant suggests falls in university applications in 2017 could see a large impact on university funding and property lettings during the next three years. This in turn could cost the economy almost £1bn.
In addition, StudentTenant calculates that the student rental sector could lose out on £383m over the next three years, based on average rent of £4,834 per year.
Danielle Cullen, managing director of StudentTenant.com, observed: ‘The huge fall in applications will have a significant impact on student rental property demand. Landlords are the ones who will feel the strain the most, as supply could well outgrow demand for student properties as we see fewer students at universities. This is a complete contrast to what we have been seeing in the student market recently, with an undersupply of properties for a long time in a lot of areas.’
‘In the upcoming election, the political parties must recognise this and put forward a plan to ensure Britain remains welcoming to international students. Not just for the student rental market, but to attract the world’s best talent to British universities,’ she added.