Guide to Student Finance (2026/27 Academic Year)
How Student Finance Works in England
In England, the government provides loans to help students pay for both tuition fees and living costs. These loans are provided through Student Finance England and are repaid based on income after you graduate.
There are two main types of loans:
Tuition Fee Loan – covers course fees, paid directly to the university.
- For full-time undergraduate degrees in 2026/27:
- The government is expected to increase the regulated maximum tuition fee in line with inflation. Various universities are already listing the fee cap for 2026/27 as £9,790 per year for home students.
- You can borrow the full tuition fee amount through a tuition fee loan if eligible, and it is paid straight to your institution.
Maintenance Loan – helps with living costs (rent, food, bills, travel).
- Maintenance loans vary based on where you live while studying and your household income.
- For the 2026–27 academic year, the Government confirms a 2.71% increase to maximum maintenance loans.
- If you are an estranged student or a care leaver, you may be classed as independant student, meaning that your maintainance loan will not be means tested, and you can expect to reieve the full amount.
- Students eligible for certain benefits (e.g., lone parents, disabled students) qualify for higher maximum loans.
How much will you get?
The table below breaks down how much Maintenance Loan support students in England may receive under Plan 5. The amount available depends on your household income and whether you’ll live at home, move away, or study in London, where living costs are higher. This quick reference helps you see at a glance how funding changes across income bands, from full loan support for lower-income households through to minimum entitlement for higher-earning families — making it easier to plan how you’ll budget during your time at university.
The household incomes in bold represent the upper earnings thresholds for the parents of students in each living situation. Students with parents earning above these thresholds will receive the minimum Maintenance Loan for someone with their living arrangements:
- £3,790 if you live at home and your household income is £58,307 or above.
- £4,767 if you live away from home and outside London, and your household income is £62,347 or above.
- £6,647 if you live away from home and in London, and your household income is £70,098 or above.
Visit the official SFE Loan / Student Finance Calculator to estimate how much s
tudent finance you might be entitled to (based on your circumstances).
Who Can Apply
Generally, to qualify for loans from Student Finance England you must:
- Be a UK national or have settled status,
- Be starting a recognised higher education course at a UK provider,
- Meet residency and course eligibility criteria.
Applications typically open early in the year you plan to start your course (often February–March).
For specific eligibility criteria, we recommend checking out this page: Student Finance – Who Qualifies?
For most courses, applications should be made by the end of May (applications open earlier in the spring) in the year that the course will begin; however, it is possible to apply for a loan up to nine months after the course start date.
If your household income drops by 15% or more compared to the tax year that would normally be used, you can apply for a ‘Current Year Income assessment’. Student Finance England have updated their process to reflect changing circumstances (for example this also applies if your parent or partner has retired or got a different job), you can ask them to calculate the student finance based on your estimated income for the current tax year instead. Find out more here.
“…But HE isn’t good value for money…”
The expense of HE is always given as the number one reason not to progress into it, and most of the time we focus on showing that it’s worth the expense. But, actually what we don’t highlight as much is what you can expect to receive whilst studying, or in other words, why is it worth the money. HE gives you access to cutting edge and industry standard technology, the expertise and support of industry leaders, plus the networking opportunities this can bring. The following films highlight that studying at HE gives you the best access to this, and more:
How and when does it get paid back?
The short clip below (which was made a few years ago and doesn’t reflect current figures, detailed below) describes how the student loan system works in plain terms.
For courses starting from September 2023 or later (including 2026/27), most students are on Plan 5 repayment terms:
Repayments are not linked to how much was borrowed, they are based on how much you earn:
- If you earn under the threshold – £25,000 before tax per year, you don’t repay anything until you’re earning above it.
- You begin to repay in the April after you finish your course and earn over £25,000 per year (before tax).
- You repay 9% of your income above £25,000.
- Any outstanding loan is written off 40 years after you become eligible to repay.
How much are monthly repayments?
The table below shows approximate monthly repayments for a range of salaries.
Visit: Quick Start Finance Guide for the most up-to-date figures.
How does interest work on student loans?
Like the repayments, interest is linked to how much you earn, but it doesn’t change the amount you repay each month. This article by Martin Lewis (from last year) explains the topic of student loan interest really well.
Other Financial Support
There’s a range of financial support for eligible students, and like other funding amounts these funds are subject to change.
Grants, scholarships and bursaries – for adult dependants, childcare, or targeted hardship support (subject to eligibility). Check out our scholarships and bursaries page, detailing the support available at our partner providers in the region.
Disabled Students’ Allowance (DSA) – non-repayable support for disability-related costs; the maximum remains substantial.
Use the links below to find out more:
There’s a range of financial support for eligible students, like other funding amounts these funds are subject to change – for example the Disabled Student Allowance (DSA). Use the links below to find out more:
Download the free money manager app Blackbullion to help with budgeting and managing spending.