Costs

Budgeting is an important part of keeping on top of your finances while at university. On this page you can find information about the kind of things you'll need to budget for when it comes to renting, including administrative fees to the different types of deposit you may need to pay.

You'll also need to consider associated costs, including:

  • heating, lighting and other utilities
  • contents insurance for your belongings
  • council tax and TV licence – find out if you need to pay these
  • food and travel costs.

Average rent costs

These figures are based on average rent levels in 2021.

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  • One bedroom flat £255 per week
  • Shared house £125–145 per person per week

Administrative fees

A recent change to the law (Tenant Fees Act 2019) means that new tenants should not be charged any administration fees by landlords or agents. Therefore, anyone signing new tenancy agreements after 1 June 2019 should only have to pay:

  • a refundable holding fee to reserve the property – capped at no more than one week’s rent
  • a refundable tenancy deposit (which will be placed in a tenancy deposit scheme) – capped at no more than five weeks’ rent)
  • the first month’s rent in advance.

Fees can only be charged for changes to the tenancy agreement and are capped at £50, or reasonable costs incurred if higher. Default fees for late payment of rent and replacement of lost keys/security devices need to be set out in the tenancy agreement.

Deposits

Holding deposits

You may be asked to pay a holding deposit by letting agents or private landlords. This is so that they stop marketing the property and hold it for you. Be sure to ask if the holding deposit is offset against the balance of your damage deposit or deducted from the rent. It may also be non-returnable, so bear this in mind if you decide not to go ahead with the tenancy.

Damage or security deposits

You will normally also have to pay a damage or security deposit. This is usually the equivalent of a month’s rent and is held in the event of any damages the landlord wishes to claim against the tenant(s) at the end of the tenancy.

Tenancy deposit schemes

Any deposits taken for an assured shorthold tenancy must be registered with a recognised deposit holder under the Tenancy Deposit Protection Scheme. By law, information about which scheme your deposit has been placed in, how to apply for the release of the deposit and what to do in the event of a dispute over the deposit must be supplied to the tenant(s) within 14 days of payment.

There are three government-recognised schemes. Further information is available at .

Receipts

Make sure that you always get a clearly written, itemised receipt that is signed and dated for any payment you make. This is particularly important if you pay in cash.