The history of the college in its present form began in 1923 when Francis James Chavasse, former Bishop of Liverpool, returned to Oxford. He was concerned at the rising cost of education in the older universities in Britain, and projected St Peter's as a college where promising students, who might otherwise be deterred by the costs of college life, could obtain an Oxford education. In 1928 St Peter's Hall opened as a hostel with 13 residents. In 1929 it was recognized by the university as a Permanent Private Hall and in 1947 as a New Foundation.