Squatter Settlement – An area of poor quality housing lacking in amenities such as water supply, sewerage and electricity, which often develops spontaneously and illegally in a city

To remember the meaning of the term Squatter Settlement, use the following mnemonic:

I squatted right here and then decided to settle here forever, I knew it was meant (squatter settlement) for me, but the area was lacking quite a few facilities.

Squatter settlements are usually built on the edges of cities in the world's poorest countries. Some are very basic and built from the cheapest materials, or materials that have been abandoned or found on waste sites. 

However, some squatter settlements – which are also referred to as shanty towns – have existed for many years and have been improved with more advanced building work and the introduction electricity supplies and other services. In some cities they have become permanent features.