Oxford University to Increase Graduate Rents by 5.8%

Oxford University's Pro-Vice Chancellor for Planning and Resources, Dr David Prout, has defended the institution's decision to raise graduate rents by 5.8%.

Dr Prout was joined by Sarah Davis, the university's Head of Finance, and Katie Scheinkonig, Head of Residential Accommodation in stressing the importance of graduate accommodation being financially sustainable.

However, Prout admitted the increase was on the upper limit of what could be absorbed by students and said that future increases will be capped at 5.5% until sustainability is secured. However, Tom Barringer, SU Vice-President for Charities and Community, criticised their conception of sustainability, on the grounds it resulted in all building costs being passed on to students.

Sarah Davis explained that in 2016 there was a 9% gap between rental payments and the amount it spends on running expenses and capital costs. The decision was therefore made to close the gap to ensure graduate accommodation is financially sustainable within five years.

Concerns have now been raised that graduate accommodation may become unaffordable to many, however Dr Prout highlighted that bursaries are offered by the university and its colleges.

It was also highlighted that any surplus the university makes will be reinvested in graduate accommodation rather than being transferred elsewhere.