UK Student Loan Plans Explained
Compare the different student loan plans available in the UK to understand which applies to you and how they work.
| Plan Type | Who It Applies To | Repayment Threshold | Interest Rate | Write-off Period | |
|---|---|---|---|---|---|
| Plan 1 | English/Welsh students who started before Sept 2012 | £22,015 per year | RPI or Bank of England base rate + 1% (whichever is lower) | 25 years from repayment start date | Details → |
| Plan 2 | English/Welsh students who started between Sept 2012 - Aug 2023 | £27,295 per year | RPI to RPI + 3% depending on income | 30 years from repayment start date | Details → |
| Plan 4 | Scottish students who started after Sept 1998 | £27,660 per year | RPI or Bank of England base rate + 1% (whichever is lower) | 30 years from repayment start date | Details → |
| Plan 5 | English/Welsh students who started from Sept 2023 onwards | £25,000 per year | RPI + 0% during studies, then varies with RPI | 40 years from repayment start date | Details → |
| Postgraduate Loan | Students on Master's or PhD courses | £21,000 per year | RPI + 3% | 30 years from repayment start date | Details → |
Not Sure Which Plan Applies to You?
Your student loan plan type depends on when and where you studied. If you're unsure which plan you're on:
- Check your payslip - it should mention your plan type if you're making repayments
- Log in to your online student loan account
- Contact the Student Loans Company directly
If you studied at different times, you might have multiple loan plans. Use ourCombined Repayment Calculatorto understand how multiple loans are repaid.
Key Differences Between Student Loan Plans
Repayment Rate
All undergraduate loans (Plan 1, 2, 4, and 5) use the same repayment rate of 9% on income above the threshold.
Postgraduate loans use a 6% repayment rate on income above £21,000.
Interest Rates
Interest rates vary significantly between plans:
- Plan 1 & 4: Lower rates based on RPI or Bank of England base rate + 1% (whichever is lower)
- Plan 2: Higher variable rates from RPI to RPI+3%
- Plan 5: RPI+0% while studying, then varies with RPI
- Postgraduate: Fixed at RPI+3%
Write-off Periods
Any remaining loan balance is cancelled after:
- Plan 1: 25 years
- Plan 2, 4 & Postgraduate: 30 years
- Plan 5: 40 years
The longer write-off period for Plan 5 means more graduates will repay in full.
Calculate Your Loan Repayments
Use our suite of calculators to understand exactly how much you'll repay each month and over the lifetime of your loan.