There are other fixed aircraft costs that have to be paid regardless of if it flies or not like insurance, CofA fees etc.
Sure, I wasn't saying there weren't other costs, but the club commited to these costs on an aircraft basis ... whether or not Student X decides to have a boozy lunch and not turn up will have no effect on the cost of insurance, hangerage etc, as the club will be paying that irrespective for as long as they are the owners of the aircraft.
I do agree however, that cancelling a lesson on short notice without good reason will do nothing good for the student's reputation, particularly if he/she does it regularly. Just like staff chucking sickies ....but that's another story ..