Education Minister Haruna Iddrisu has proposed capping annual rent increases in public universities at 5% to 10%, a move that could help contain student accommodation costs and reduce pressure on household budgets.
The proposal would introduce a more predictable framework for adjusting university accommodation charges, with inflation serving as a possible guide to annual increases under the Fees and Charges Act.
Mr Iddrisu said a committee should be established to recommend permissible rent adjustments to the Minister of Finance, Dr Cassiel Ato Forson, before annual fees and charges are reviewed.
“We do not support exorbitant rent prices being charged across the country,” he said in a media interview.
“It is my view that we should constitute a committee to advise the Minister of Finance before he proceeds with the Fees and Charges Act on what percentage increase is permissible each year. We can say, for instance, take inflation as a guide, 5 to 10 percent increase annually.”
The proposal comes as accommodation costs remain an important component of the financial burden facing students and their families, with rent increases potentially adding to the cost of accessing tertiary education.
A defined annual adjustment limit could give students and parents greater certainty when planning education expenses, particularly for households that must meet tuition, transport, feeding and accommodation costs simultaneously.
For university authorities, however, the proposed framework would need to consider the cost of maintaining and expanding residential facilities, including utilities, repairs, security and other operating expenses.
Where accommodation charges fail to keep pace with rising operating costs, universities could face pressure to mobilise additional funding for hostel maintenance and new housing capacity.
The proposed committee would therefore have to balance affordability for students with the financial requirements of institutions responsible for providing accommodation.
Mr Iddrisu’s suggestion does not yet constitute an approved rent cap. The proposed 5% to 10% range is an example of the annual increase he believes could be considered, pending further examination and recommendations.
The proposal signals a possible shift towards more structured oversight of accommodation charges in public universities, with the final framework expected to determine how annual increases are assessed against inflation and other cost pressures.
