The National Union of University Students in Finland (SYL) calls on the Government to find solutions in its budget discussions to the challenges of students’ summer income arising from the Government’s decision to transfer students from the scope of general housing allowance to receiving a housing supplement as part of student financial aid.

‘Due to the Government’s antics, students are forced to wonder how they can magically cover their rent in the summer. On an annual basis, the cuts can total as much as EUR 2,000. The rent must also be paid in the summer,’ emphasises Akseli Tiitta, Chair of SYL.

General housing allowance is a year-round allowance, whereas the housing supplement as part of student financial aid is linked to study attainments. In the future, students would not receive housing allowance in the summer unless they study and take out student financial aid. ‘However, the number of months that students can receive student financial aid has been cut since the students were transferred to the scope of general housing allowance, and the total support months are no longer sufficient for also studying in the summer.

If the student is unable to study in the summer and cannot find a summer job, the only possible benefit is basic social assistance. When applying for social assistance, the student loan is considered as part of the student’s income even if the student had not taken it out. This is an unreasonable addition to the student’s debt burden even if they are not able to progress in their studies. Social assistance is, by nature, a last-resort benefit and not a suitable form of support for students during the summer.

The Government must find solutions in the budget session and safeguard students’ income during the summer. Key measures to ensure this include raising the number of months when students can receive student financial aid to at least the same level as before the transition to general housing allowance. In the new system, student loans should also not be taken into account as income in months outside studies.

‘Unprecedented cuts and transferring students into the scope of housing supplements make the situation even more unreasonable for students. The government is beating the students close to death. Students or the higher education sector cannot endure one more budget cut,’ President Tiitta summarises.

Orpo’s Government will meet in the budget session next week on 3 and 4 September 2024. In the budget discussion, the Government will negotiate the 2025 state budget.

Further information:

Akseli Tiitta
President
+358 (0)44 906 5004
akseli.tiitta@syl.fi

Sonja Naalisvaara
Social Policy Adviser (benefits, housing)
+358 (0)50 4965053
sonja.naalisvaara@syl.fi