Student Finance 2026/27: What to Expect
Starting university in September 2026? Here's everything you need to know about tuition fees, maintenance loans, and Plan 5 repayment. Official rates are typically announced in February.
Current student? View the confirmed 2025/26 rates instead
Official Rates Not Yet Announced
The government typically announces student finance rates for the upcoming academic year in February/March when applications open. This guide explains how the system works and what to expect based on the current 2025/26 rates.
Last updated: 7 January 2026 • Official 2026/27 rates expected February 2026
Current Max Loan (London)
£13,762
2025/26 rate
Current Max Loan (Elsewhere)
£10,544
2025/26 rate
Current Tuition Fee Cap
£9,535
2025/26 rate
Plan 5 Threshold
£25,000
Frozen until 2027
Current Maintenance Loan Rates (2025/26)
While official 2026/27 rates won't be announced until early 2026, here are the current 2025/26 maximum maintenance loan amounts to give you an idea of what to expect:
| Living Situation | 2025/26 Maximum | Note |
|---|---|---|
| Living with parents | £8,877 | Maximum amount for lowest-income households |
| Living away (outside London) | £10,544 | Most common situation |
| Living away (in London) | £13,762 | Higher cost of living in London |
ℹ️How Much Will You Actually Get?
These are maximum amounts for students from the lowest-income households (£25,000 or less). Your actual entitlement depends on household income. Most students receive less than the maximum. Use the maintenance loan calculator to estimate your entitlement.
About future rates: Maintenance loans are typically adjusted each year, but there's no guarantee they'll increase. Historically, they've sometimes been frozen for multiple years. The government announces rates when applications open (usually February/March).
Tuition Fees: What to Expect
Tuition fees in England were frozen at £9,250 for 8 years (2017-2024). For 2025/26, they increased to £9,535. What happens next depends on government decisions—there's no automatic annual increase policy.
Current Standard Fee (2025/26)
£9,535
Per year for undergraduate courses
Accelerated Degree (2025/26)
£11,440
For 2-year intensive courses
⚠️Important: Tuition Fees Are Not Automatically Indexed
Unlike some other countries, UK tuition fees do not automatically increase with inflation every year. They're set by government decision and historically have been:
- 2012-2016: Frozen at £9,000 (5 years)
- 2017-2024: Frozen at £9,250 (8 years)
- 2025-26: Increased to £9,535 (first rise in 8 years)
For 2026/27, the government may increase fees again, freeze them, or set a new long-term cap. This will be announced when applications open (typically February/March 2026).
ℹ️Remember
Tuition fees are paid directly to your university via the Tuition Fee Loan — you never see this money in your bank account. You only repay it after graduation when earning above the threshold (£25,000 for Plan 5).
Plan 5 Repayment: What You Need to Know
If you're starting university in September 2026, you'll be on Plan 5. This is the newest repayment plan introduced in August 2023. Here are the confirmed details:
Plan 5 Key Features (Confirmed by Government)
Repayment Threshold
£25,000/year
Frozen until April 2027
Repayment Rate
9% above threshold
Same as all other plans
Interest Rate
RPI only
No additional margin (simpler than Plan 2)
Write-off Period
40 years
Longer than Plan 2's 30 years
✅Threshold Frozen Until 2027
The government has confirmed that the £25,000 threshold will remain frozen until April 2027. From April 2027 onwards, it will increase annually with RPI (Retail Price Index) inflation.
What this means in practice: If you earn £30,000, you'll pay 9% of £5,000 (the amount above £25,000) = £450 per year, or £37.50 per month. The remaining balance continues to accrue interest at the RPI rate.
Which Tax Year Is Assessed for 2026/27?
For the 2026/27 academic year, Student Finance England will assess your household income from:
Tax Year Used
2024/25
(6 April 2024 – 5 April 2025)
Parents/partners will need their P60 from April 2025 or their Self Assessment for the 2024/25 tax year.
⚠️Income Changed Since Then?
If your household income has dropped significantly since the 2024/25 tax year (e.g., due to redundancy, retirement, or reduced hours), you can apply for a Current Year Income Assessment after submitting your main application. Student Finance will then use your current year's expected income instead.
When Can You Apply for 2026/27?
Applications for the 2026/27 academic year typically open in:
March 2026
Expected application window opening
- You don't need a confirmed university place to apply
- Apply with your preferred choice and update later if needed
- The deadline for new students is typically mid-May (for September starts)
- Late applications are accepted but may delay your first payment
Typical Borrowing for a 3-Year Degree
Here's what a typical 3-year undergraduate degree might cost based on current 2025/26 rates. Actual 2026/27 rates will be announced when applications open:
| Component | Per Year (2025/26) | 3-Year Total |
|---|---|---|
| Tuition Fee Loan | £9,535 | £28,605 |
| Maintenance Loan (outside London, max) | £10,544 | £31,632 |
| Total Borrowed | £20,079 | £60,237 |
Based on maximum maintenance loan (lowest household income). Most students receive less depending on household income. 2026/27 rates may differ.
✅Don't Panic About the Total
Student loans in England work more like a graduate tax than traditional debt. You only repay 9% of earnings above £25,000, and the balance is written off after 40 years. Most graduates will never repay the full amount. Use our Plan 5 calculator to see your actual projected lifetime repayments based on salary.
Frequently Asked Questions
When will the official 2026/27 rates be announced?
Official rates are typically published in February or March when student finance applications open for the upcoming academic year. For 2026/27, expect announcements around February/March 2026.
Will tuition fees keep rising every year?
Not necessarily. Tuition fees are set by government decision, not automatic indexing. Historically, they've been frozen for long periods (8 years at £9,250, 5 years at £9,000 before that). The 2025/26 increase to £9,535 was the first rise in 8 years. Whether they'll increase again for 2026/27 depends on government policy decisions.
What's the difference between Plan 2 and Plan 5?
Plan 5 applies to students starting from August 2023 onwards. Key differences: Plan 5 has a lower threshold (£25,000 vs £28,470 for Plan 2), simpler interest (RPI only, vs RPI+3% for Plan 2), but a longer write-off period (40 years vs 30 years). The threshold is frozen until 2027. See our Plan 5 guide for details.
Do I need my UCAS offer to apply for student finance?
No! You can apply for student finance before receiving any university offers. Simply select your preferred university and course, then update your application later if your plans change. Applying early helps ensure your loan is ready for freshers' week.
What documents do my parents need?
Your parents (or partner) will need proof of income from the 2024/25 tax year. This is typically their P60 (issued by employers in April 2025) or their Self Assessment tax return if self-employed. They may also need National Insurance numbers.
Is university still worth it with student loans?
This is a personal decision. Student loans in England work more like a graduate tax than traditional debt—you only repay when earning above £25,000, repayments are capped at 9% of income above that threshold, and the balance is written off after 40 years. Most graduates never repay the full amount. Consider your career prospects, earning potential, and whether your chosen field requires a degree.
Key Takeaways for 2026/27 Applicants
2026/27 rates will be announced when applications open (February/March 2026)
You'll be on Plan 5: £25,000 threshold (frozen until 2027), 40-year write-off
Your parents' 2024/25 tax year income will be assessed
Tuition fees are NOT guaranteed to increase annually—they're set by government decision
Applications expected to open in March 2026 (don't need a uni offer to apply)
Most graduates never repay the full loan amount—it works like a graduate tax
Calculate Your Future Repayments
Use our calculator to estimate what you'll actually repay over your career.
Related Guides
Maintenance Loan Entitlement
How much maintenance loan you'll receive based on household income.
Learn more →Student Finance for Applicants
Complete guide for students applying to university.
Learn more →Plan 5 Explained
Everything about the Plan 5 repayment system for 2023+ starters.
Learn more →How Student Loans Work
Comprehensive beginner's guide to UK student loans.
Learn more →📬 This page uses current 2025/26 rates for reference. It will be updated when official 2026/27 rates are announced (expected February 2026).
Last updated: 7 January 2026