Is the era of all-inclusive utilities in PBSA over?
September 2025
For many UK PBSA operators, all-inclusive rent has long been a selling point—simple to market, easy to manage, and attractive to students. But in today’s climate, the sustainability of this model is under growing pressure. We have all heard the stories of students 3D printing, Bitcoin mining, leaving heaters on with windows open, and even leaving hot showers running in rooms to increase humidity - the costs can rapidly spiral out of control, and it's all happening behind closed doors.
Rising Costs, Rising Risk
The energy crisis exposed how vulnerable the all-inclusive model really is. With volatile wholesale prices and hedging strategies stretched, operators are finding it harder than ever to absorb these costs within the fixed rent model.
The level of exposure has made the traditional all-inclusive model commercially challenging, and operators are carrying too much of the risk burden.
The risk-reward balance has shifted.
Evolving Models
In response, we’re seeing a move toward more flexible approaches, including:
✅ Capped allowances
✅ Smart metering & usage-based billing
✅ Tiered or optional utility packages
These models help mitigate risk, drive more responsible energy use, and align with growing ESG pressures. But transitioning requires investment in both infrastructure and communication—particularly to ensure students understand and accept the change.
Segment, Don’t Standardise
All-inclusive pricing won’t disappear completely. It still appeals to some markets — especially international students and premium PBSA assets.
The key is segmentation. One size no longer fits all. Operators need to align their utility model with location, asset type, and resident profile.
An ESG and Strategic Opportunity
Beyond cost management, this shift is also a chance to strengthen sustainability credentials. Linking consumption to usage encourages behavioural change and supports wider ESG goals—a growing priority for investors and institutional partners.
Where cThings Fits In
At cThings, we provide PBSA operators with flexible, data-driven metering and billing solutions. Our innovative technology gives full visibility and control across utilities, whether you’re moving toward capped allowances, smart billing, or hybrid models.
We help you cut risk, strengthen ESG performance, and improve the student experience
In Summary
The dominance of all-inclusive utility pricing in UK PBSA is fading. The next phase is about control, flexibility, and resilience. Operators who adapt early, invest wisely, and communicate clearly will be best positioned to protect margins, meet ESG targets, and enhance the student experience.
Is your utility model ready for the next generation of PBSA?
