by House4Students 
With energy prices still volatile and students increasingly expecting simplicity, many landlords are asking the same question in 2025: should I offer all-inclusive rent?
Bundling utilities can help attract tenants and reduce admin — but it also carries cost risks and behavioural challenges. Here we explore whether going all-inclusive still makes sense for student HMOs.
1. The Appeal of All-Inclusive to Students
Students love predictability. With rising costs of living, tenants (and their parents) are drawn to properties where utilities are bundled in:
- No stress over splitting bills between flatmates
- No surprise winter heating spikes
- Easier budgeting — especially for international students or those relying on maintenance loans
A UCAS/NUS survey in 2024 found that 72% of students preferred all-inclusive rent, even if the monthly rate was slightly higher.
Landlords benefit too:
- Faster lettings
- Reduced tenant disputes over bill payment
- Increased control over supplier accounts
2. The Cost and Behaviour Risks for Landlords
While fixed pricing sounds like a win-win, it carries growing risks:
- Overuse: Students may run heating 24/7 or leave lights and devices on constantly — especially if energy is “free.”
- Bill inflation: Although energy prices have stabilised somewhat in 2025, tariffs remain 30–40% higher than in 2020 (Ofgem).
- Profit squeeze: A warm winter or energy-efficient house can make inclusive bills profitable. A cold snap + high occupancy = margin loss.
To manage risk:
- Use capped packages with fair usage clauses (e.g. Glide, UniHomes)
- Add smart meters and thermostats to monitor and encourage responsible use
- Consider passing on overages if a generous base cap is exceeded
3. Strategic Positioning: When It Makes Sense
Going all-inclusive can still be the right move — if the property and market conditions align:
✅ Ideal when:
- Your target tenants are international or first-years
- Your property is energy-efficient (EPC B/C or above)
- You use a reputable bills package provider with usage controls
- Your local market is competitive and tenants expect it
❌ Think twice if:
- You have older stock with poor insulation or inefficient boilers
- The tenancy group is large (e.g. 6+ tenants = higher usage variance)
- You’re operating on tight margins and can’t tolerate cost swings
A growing number of landlords are offering bills optional packages: tenants can opt for an all-in rate, or handle utilities themselves. This is a good compromise that preserves marketing appeal while protecting your cashflow.
Final Word
All-inclusive isn’t dead in 2025 — but it’s no longer a no-brainer. Successful landlords take a strategic approach:
- Understand your property’s true running costs
- Set realistic usage limits
- Communicate expectations clearly in the tenancy agreement
The student market still values simplicity — but that doesn’t mean landlords should foot the bill for excessive or careless energy use.
References:
- UCAS/NUS Survey on Student Bills, 2024
- Ofgem Energy Price Data, 2025
- UniHomes and Glide – student bills providers
