Significant surges in demand for on-campus housing have been reported by universities according to a recent paper released by the Department of Education. The department is considering ways to assist with housing expenses through the Student Universal Support Ireland (Susi) programme. The current statistics provided by higher education institutions indicate that applications for student accommodation in publicly owned buildings far surpassed the number of available spaces, with around 29,773 applications exceeding the places available for the 2023/2024 academic year.
It is estimated that each student bed on campus receives three applications on average, and this doesn’t even take into account those from Technological University. Students who can’t secure a spot are left to look for accommodation in the private sector. The paper, “Funding the Future: An Annual Options Paper on the Cost of Higher Education 2024”, explores the costs of various policy alternatives, including in the realm of tuition fees.
The surge in construction costs, exacerbated by events such as the Russian invasion of Ukraine, Brexit, and the Covid pandemic, are significantly affecting the availability and pricing of new rental properties for university students. In fact, it is estimated that the construction cost for student housing in the wider Dublin area is exceeding €200,000 for a single en-suite room.
The strain on availability has been substantial, with over 10,900 planned units within the university public and private student housing sector still unactivated. Furthermore, there are fears that private companies may exit the market due to the capped rents in Rent Pressure Zones, which are impacting their capacity to meet rising operational expenses.
Earlier in the year, the Irish government declared a funding of €100 million to provide over 1,000 student beds at University College Dublin, Dublin City University, and Maynooth University. According to data from the Eurostudent Survey in 2022, 45% of Ireland’s higher education students are living with their parents, 19% in purpose-built student accommodation, and 36% predominantly in the privately rented sector.
Considerations for additional financial backing, which include one-time financial assistance or amplified bursaries for grant recipients who aren’t local, have been explored in the discussion paper. This would include an urgent student housing fund for student union bodies, to provide immediate assistance to students requiring urgent accommodation.
The paper further suggests a plan to give accommodation assistance aimed at students from the Traveller and Roma communities, costing around €1.2 million for a full year.
Education Minister Patrick O’Donovan’s campaign for a further €500 reduction in academic fees is highlighted in the paper. This would add to the €1,000 discount already offered, cutting the fee by half from €3,000 to €1,500.
The paper indicates that a €500 cutback in the student “contribution” could incur a total cost of €49.5 million to the state treasury.