South Africa’s Student Housing Costs Threaten Poor Students, Lawmaker Warns

August 10, 2026
By Mintesinot Nigussie

High student accommodation costs are making higher education unaffordable for some students in South Africa and could prevent those from low-income households from accessing university education, according to a parliamentary oversight committee. Tebogo Letsie, chairperson of the Portfolio Committee on Higher Education, raised the concern during an oversight visit to the University of Mpumalanga, arguing that private accommodation providers were turning student housing into a significant profit-making business.

“Education is a social good, but we have people who decide they are going to make huge profits. The exorbitant cost of student accommodation is making education unaffordable, this is tactical exclusion for the poor,” Letsie said.

Some private accommodation providers charge above the accommodation rates capped by the National Student Financial Aid Scheme, leaving students to cover the difference themselves. Where universities meet the additional cost, students can instead accumulate substantial debts to their institutions.

The parliamentary committee plans to examine the issue at a colloquium on student accommodation scheduled for August 28, 2026. The Competition Commission, Estate Agency Affairs Board, NSFAS and other stakeholders have been invited to participate as the committee considers potential responses to the rising cost of student housing.

Source: FSX Business News