UK student accommodation giant Unite Group has warned that its profits are set to fall in 2026, as softer demand and slower booking trends—particularly from

overseas students—begin to weigh on income.

The company said on Tuesday that annual earnings will decline next year after a prolonged drop in international postgraduate demand. That slowdown follows tighter UK visa rules and growing competition from alternative global study destinations, which have made Britain a less attractive option for some overseas students.

While postgraduate numbers have weakened over the past two years, Unite expects universities to step up international undergraduate recruitment in an effort to partially offset the decline.

Occupancy levels have also edged lower. Unite reported that bookings for the 2025/26 academic year stood at 95.2%, down from 97.5% the previous year, reflecting more uneven demand across the country.

Chief executive Joe Lister said that performance varied by location. “The majority of our portfolio is delivering strong levels of occupancy and rental growth, but we have experienced challenges from weaker demand and higher supply in some cities,” he said.

In response, the group is sharpening its focus on higher-tariff universities, which typically attract more resilient demand, and is planning further asset disposals to strengthen its capital position.

Looking ahead, Unite forecasts adjusted earnings per share of between 41.5 and 43.0 pence in 2026, down from 47.5 pence in 2025. The decline reflects lower income from its recently acquired Empiric business, alongside ongoing occupancy pressures as the new academic year approaches.