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Below market rents must be offered if colleges avail of new accommodation loans

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The European Investment Bank (EIB) and the Housing Finance Agency (HFA) agreed a new €434 million student accommodation financing initiative to allow Irish colleges build student accommodation

Third-level institutions who avail of a new Government low-interest long-term loan scheme must offer rents to students for below market rates, Simon Harris has warned.

It is envisaged that the scheme could deliver more than 2,700 student beds in institutions across the country.Werner Hoyer, President of the European Investment Bank, was in Dublin for the announcement and told reporters that the cost of student accommodation can be a barrier that stops some students from pursuing further studies.

"From that point of view, it's very, very serious and we take it seriously. It is not an Irish problem to be quite blunt as well. Wherever I go in the European Union, I am confronted with similar issues."

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