Fears of falling into further debt have led many to decide not to move out when they go to university.
Many students are opting to stay at home while they study in order to cut costs, new analysis from Lloyds TSB suggests.
The bank said that 27 percent of young people soon to start university are passing up on the chance to move away to study for this reason. However, this represents a slight decline over 2007's figure, which stood at 31 percent.
Nevertheless, this still means that 130,000 students will be staying at home this year. Around one third of this group told Lloyds TSB that the primary reason behind their decision was a determination to save money, while one in four termed staying at home a "great way" of managing their own personal debts.
Catherine McGrath, director of current accounts at the bank, said: "Going to university isn't just about getting good grades, it also has to make financial sense. For many, living at home or taking on a job is a sensible option to help cut down the cost of their studies.
"However, university is also a great time to spread your wings and get a little life experience. By making the time now for some financial planning and careful budgeting, cash-strapped students should be able to enjoy further education without worrying unduly about making ends meet."
