Analysis:
The affordability of higher education: An integrated view of tuition and living expenses in Continental Europe
Continental Europe is redefining global student mobility by balancing world‑class academic reputations with a diverse range of tuition and student housing costs across its key markets.
In the shifting landscape of global education, Continental Europe is gaining momentum as a leading study destination. One of the key drivers behind this trend is the relatively low cost of education compared to traditional English-speaking destinations.
However, a more granular view reveals that costs vary notably across different markets:
Poland is emerging as an affordable study destination overall,
Germany stands out for offering globally renowned degrees at the cheapest tuition fees,
France has recently increased tuition fees for non‑EU students, which, together with most English‑taught programmes offered by internationally ranked private institutions, places the country in the premium price bracket among Continental European countries,
Spain and Italy cater for a wider range of budgets,
the Netherlands has a more uniform tuition fee pricing model.
As affordability becomes an increasingly important consideration for students, it is also emerging as a key factor in shaping the student housing market.
If you are short on time:
Although Continental Europe offers significant tuition fee advantages compared to traditional English‑language study destinations such as the UK, the landscape varies widely across markets.
While France and the Netherlands are introducing policies that could undermine efforts to attract international students, Germany remains an attractive case study, as tuition fees are subsidised even for non‑EU international students.
Affordability depends on the total cost of education, including monthly expenses, which are largely driven by living costs. Lower tuition fees do not necessarily equate to the lowest overall cost. Spain, for example, has relatively affordable tuition fees but high living costs, particularly for accommodation, while France demonstrates an opposite pattern.
Europe combines academic reputation with affordability
The global student mobility landscape is undergoing a structural realignment. Students are increasingly opting for alternative destinations over traditionally popular markets, such as the UK, preferring locations whereacademic reputation meets welcoming policies and affordability. Continental Europe is well positioned in this regard, with many globally renowned universities offering English‑taught degrees at comparatively accessible tuition levels, paired with competitive day‑to‑day expenses.
Taking a granular view of the market, however, reveals that the average cost of studying at a highly ranked institution varies considerably across European markets, rather than following a universal pricing model. Among the analysed markets, Spain and Italy — two increasingly popular study destinations — occupy a broad middle position. The Netherlands has a balanced higher education market, with relatively uniform tuition fees across its leading institutions. Poland and Germany stand out as two of the most affordable destinations, while France represents a more premium segment within Continental Europe.
The increased cost of education in France is partly driven by the prevalence of private institutions (including Grandes Écoles and business schools) among the top‑ranked providers, as well as the fact that the majority of English‑taught programmes are offered in such institutions. Importantly, however, due to a newly introduced education reform aimed at reshaping international recruitment, from the 2026/27 academic year, France will require non-EU students to payhigher tuition fees at public universities.
New entrants from outside the EU will be subject to these increased fees (at least € 2,895 per year for bachelor's degrees and € 3,941 for master's programmes, based on the 2025/26 rates). Until now, universities have been able to waive these rates and charge reduced statutory fees instead, with most choosing to do so. The new reform removes this option, limiting exemptions to a small proportion of students (30% of non‑EU students in the 2026/27 academic year, falling to 25% in 2027/28, with the ultimate aim of reducing this figure to 20%).
Germany represents a distinct case within the European landscape, with tuition‑free public education available even to non‑EU students in most federal states. Students are generally required to pay only a semester fee of up to a few hundred euros, while tuition fees are generally not charged. Baden‑Württemberg, where a flat‑rate international tuition fee of € 1,500 per semester (€ 3,000 per year) applies, and selected Bavarian universities charging up to € 3,000 per semester for Bachelor's programmes represent the only exceptions to this rule. Combined with mid‑range living costs, strong academic performance and global reputation, this model places Germany among the most competitive European study destinations.
While tuition fees remain competitive across much of Continental Europe, housing costs increasingly shape the overall affordability of education, highlighting the importance of an integrated view of the total cost of study. Day‑to‑day expenses, such as food and transportation, remain relatively consistent across markets, while housing accounts for 60‑75% of monthly expenditure. Spain records one of the highest monthly living costs in the comparison, driven primarily by accommodation expenses, whereas Poland combines low tuition fees with the lowest overall monthly expenditure, representing the most budget-oriented option. At the other end of the spectrum, France pairs comparatively high tuition fees with more moderate living costs than several other Western European markets. Taken together, this analysis highlights that destination competitiveness increasingly depends on the ability to combine academic quality with a sustainable total cost of study, where housing plays a central role in shaping students’ decisions.
What does this mean for stakeholders?
There is no doubt that affordability is becoming a critical factorin shaping student demand. However, housing costs must be considered alongside other factors: students evaluate the total cost of studying, balancing accommodation, tuition fees and academic reputation.
Therefore, the strongest investment opportunities are likely to emerge in markets that combine educational quality with competitive overall costs.
For a deeper understanding of student housing demand, supply gaps, development pipelines and market-level provision rates, explore the BONARD Platform or learn more about how BONARD supports market selection and investment strategy.
For tailored advice on evaluating student housing opportunities in Europe, contact Filip to explore how he can support your next acquisition or development strategy.
SUBSCRIBE TO STUDENT HOUSING INSIDER
Stay close to the student housing market
Subscribe to Student Housing Insider for a weekly update on student housing transactions, development pipeline, market trends and selected BONARD analysis.
Designed for investors, developers, operators, lenders and market participants tracking the student housing sector.