One in seven university students fear they may become homeless within the next six months as escalating bills, rent and prices pile pressure on their limited finances, new research from Nationwide Building Society reveals.
The poll of 1,000 UK university students found two thirds (66%) of students are struggling to afford their housing costs or have fallen behind on their rent in the current climate, and many are having to borrow to make ends meet. Almost three quarters (73%) have had to borrow money from family members to pay for essentials such as food and rent in the last year, and four in 10 (42%) relied on their overdrafts to cover these necessary outgoings.
The study highlights that more than one in five (22%) know someone who has become homeless within the last year due to financial difficulties – either sofa surfing, staying in a hostel or rough sleeping.
The cost-of-living crisis has seen homelessness rise significantly this year. The latest government figures1 show an 11 per cent increase in those who became homeless or were at imminent risk of homelessness in just three months.
In recognition of this, Britain’s biggest building society is giving £10 towards helping those impacted by homelessness for every FlexStudent current account opened in August and September (see account details in Notes to Editor). Every student opening one of the accounts will also receive £100 cashback. The funding, up to £200,000, will go to housing and homelessness charity Shelter, which Nationwide has partnered for 21 years, helping over 100,000 people over the course of the partnership. This funding will specifically go towards Shelter’s emergency helpline and digital advice service, providing free and expert help to thousands of people facing homelessness.
Housing costs were a ‘key factor’ in deciding which university to attend for one in five (24%) students and as they get ready to start a new year of study next month, many are facing issues to pay for essentials like food and rent. Almost half (47%) have felt ‘shame and embarrassment’ in asking to borrow more and a third (36%) have felt like they couldn’t ask for help to pay for these essentials. That’s why Nationwide has teamed up with Shelter to raise awareness that struggling students can get help and to help raise vital funds so Shelter can continue providing its free expert advice and support.
Regionally there is significant variation in the degree to which students are worried they may become homeless in the next six months due to not being able to afford the current cost of living. The areas with the highest level of worry from students is the West Midlands (21%), Greater London (20%) and Yorkshire and Humber (17%).
Charlotte Kensett, Director of Brand and Engagement, Nationwide Building Society, said: “After a torrid time during the pandemic, many students will now be facing an uphill struggle to stretch their finances even further. We hope that by giving students an opportunity to help the homeless while also helping themselves to an attractive £100 cashback incentive by opening a current account, we can help both groups. Shelter is a longstanding partner of ours and this fundraising opportunity is another way we want to show our support as a member-owned organisation. In the last 21 years, our funding has helped over 100,000 people facing a housing emergency.”
Polly Neate, Chief Executive, Shelter, said: “No student should have their education derailed because they’re worrying about how to make ends meet. Yet record-high rents and crippling food and fuel bills are pushing worrying numbers of university students to the brink of homelessness.
“Every day our frontline services are working tirelessly to help people keep a roof over their heads. We’re here to help any student who is struggling with their housing or facing homelessness.
“We are incredibly grateful to Nationwide for their support, which helps us provide free, expert advice across the country. The living cost crisis means our work helping people to find or keep hold of a safe home is more critical than ever.”
CASE STUDY
Mature student Sireena Creighton, 38, had to put her degree in politics on hold when her and her son Ethan ended up homeless after their landlord evicted them from their home in London. The family ended up stuck in a cockroach-infested hostel room with no kitchen until Sireena contacted Shelter for help. Sireena and her son were then moved into a temporary home until the council finally found them a social home last year. Now Sireena has started studying again and plans to complete a degree in psychology, while her son is about to start his A-levels and aspires to go to university.
Speaking about her experience, Sireena says: “Having a home is the foundation of everything. You can’t get an education or achieve your life goals unless you’ve got a safe and secure home. If Shelter hadn’t helped me when I was homeless with my son, we’d still be stuck in that hostel room now. The hostel was a scary and exhausting place to live – so much so I ended up depressed and suffering from panic attacks and a chronic pain condition.
“Now we’re in a secure social home, we can finally get on with our lives. I’m now studying again so I can go to university to do a degree in psychology. I don’t want my son, Ethan, to be failed by our broken housing system. He’s so smart and capable and I want him to have access to every educational opportunity. But I worry all the time about how we’ll afford him going away to university.”
Nationwide has launched a freephone cost-of-living helpline for its members to give them the support they need at this time. It is available from 9am-4.30pm weekdays and 9am-12pm Saturdays. Nationwide is aiming to answer calls to the hotline within ten minutes. Outbound calls are also being made to ensure members receive the support they need.
Anyone who is facing homelessness can get free and expert advice from Shelter by visiting www.shelter.org.uk/get_help
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