Question to the Department for Education:

To ask the Secretary of State for Education, what support her Department is providing to students in university accommodation with the cost of living.

The department recognises the additional cost of living pressures that have arisen this year, which have impacted students. Many higher education (HE) providers have hardship funds that students can apply to for assistance.

There is £261 million of student premium funding available this academic year to support disadvantaged students who need additional help. The department has worked with the Office for Students (OfS) to ensure universities support students in hardship, using both hardship funds and drawing on the student premium.

In addition, all households will save on their energy bills through the Energy Price Guarantee and the £400 Energy Bills Support Scheme discount. Students who buy their energy from a domestic supplier are eligible for the energy bills discount. The Energy Prices Bill introduced on 12th October 2022 includes the provision to require landlords to pass benefits they receive from energy price support, as appropriate, onto end users. Further details of the requirements under this legislation will be set out in regulations.

Students whose bills are included in their rent, including energy charges, will typically have agreed their accommodation costs upfront when signing their contract for the current academic year. Businesses, including those that provide student accommodation, are covered by the Energy Bill Relief Scheme, which provides energy bill relief for non-domestic customers in the UK. A Treasury-led review will be launched to consider how to support households and businesses with energy bills after April 2023.

The department has continued to increase living costs support with a 2.3% increase for maximum loans and grants for living and other costs for the current 2022/23 academic year. Students who have been awarded a loan for living costs for the 2022/23 academic year that is lower than the maximum, and whose household income for the 2022/23 tax year has dropped by at least 15% compared to the income provided for their original assessment, can apply for their entitlement to be reassessed.

The government is reviewing options for uprating maximum loans and grants for the 2023/24 academic year, and an announcement will follow in the autumn. We need to ensure the HE student finance system remains financially sustainable and the costs of HE are shared fairly between students and taxpayers, not all of whom have benefited from going to university. At a time of tight fiscal restrictions we will need to consider spending on student finance alongside other priorities.