High accommodation costs threaten access to education, says Letsie

The Chairperson of the Portfolio Committee on Higher Education, Mr Tebogo Letsie, has warned that the rising cost of student housing is making higher education unaffordable. He stated that these high prices could prevent students from low-income backgrounds from accessing tertiary education in South Africa.

During an oversight visit to the University of Mpumalanga yesterday, Mr Letsie expressed concern that private accommodation providers across the nation have turned student housing into a major profit-making enterprise. He noted that while education should be treated as a social good, some providers are prioritizing large profits instead.

Mr Letsie described the high costs of housing as a form of tactical exclusion for the poor. He explained that some providers set prices that exceed the capped rates set by the National Student Financial Aid Scheme (NSFAS). This forces students to pay the remaining balance themselves or results in significant debt for universities that cover the difference on behalf of the students.

To address these challenges, the committee has scheduled a colloquium focused on student accommodation. The meeting is set to take place on 28 August 2026.

Stakeholders invited to the discussion include the Competition Commission, the Estate Agency Affairs Board, and NSFAS, along with other relevant parties. The goal of the gathering is to find solutions to the current housing crisis in the higher education sector.