Student loan repayments: the plans, thresholds and when loans are written off
Published · 4 min read · Figures checked . UK rules and rates change, so check the official sources below before you act.
Student loan repayments depend on your repayment plan and your income, not on how much you borrowed. This guide explains the plans, the current thresholds, when repayments start, and when a loan is written off or cancelled.
Who this guide is for
This guide is general information for people in the UK who have a student loan, or who are thinking about one, from Student Finance England, Wales, Northern Ireland or Scotland. It does not cover private loans or Advanced Learner Loans in detail, and it is not advice for your own situation.
The figures below are the ones GOV.UK showed on 12 October 2026, during the 2026/27 tax year (6 April 2026 to 5 April 2027).
Which plan you are on
Your plan depends on where you applied from and when your course started. GOV.UK sets out the rules in more detail, but in short:
- Plan 1: courses in England or Wales that started before 1 September 2012, and any Northern Ireland course, undergraduate or postgraduate.
- Plan 2: English courses that started between 1 September 2012 and 31 July 2023, and Welsh undergraduate courses and PGCEs that started on or after 1 September 2012.
- Plan 4: loans from the Student Awards Agency Scotland.
- Plan 5: English courses that started on or after 1 August 2023.
- Postgraduate Loan: master's or doctoral loans from England or Wales that started on or after 1 September 2012.
Some people have more than one plan, for example an undergraduate plan and a Postgraduate Loan at the same time.
What you repay
You repay a percentage of income above a threshold. If your income is below the threshold, nothing is due. If you stop working or your income falls below the threshold, repayments stop automatically.
For example, using the Plan 2 threshold, someone earning £35,385 a year has £6,000 above it. Nine per cent of £6,000 is £540 a year. This is only an illustration of the sum, not a forecast of anyone's real repayments.
If you have a Postgraduate Loan and another plan, you pay 6% over the Postgraduate threshold and 9% over the threshold of your other plan.
GOV.UK has also announced a new Plan 1 threshold of £28,005, which applies from 6 April 2027 to 5 April 2028.
When repayments start
The earliest you start repaying is the April after you leave your course, and only once your income is over your plan's threshold. If you have taken out loans for more than one course, they could have separate start dates. For part-time courses, GOV.UK says repayments start in the April four years after the course began, if the course is longer than four years and started before 1 January 2027.
When a loan is written off
After a set time, any balance left is written off. GOV.UK gives these timings:
- Plan 1: 25 years after the April you were first due to repay, if your first loan was paid on or after 1 September 2006. For earlier loans, it is written off when you are 65.
- Plan 2: 30 years after the April you were first due to repay.
- Plan 4: 30 years after the April you were first due to repay for loans first paid on or after 1 August 2007. Older loans are written off at 65 or after 30 years, whichever comes first.
- Plan 5: 40 years after the April you were first due to repay.
- Postgraduate Loan (England or Wales): 30 years after the April you were first due to repay.
The Student Loans Company (SLC) will cancel a loan if the borrower dies, and may be able to cancel it if you claim certain disability benefits. Evidence is needed in both cases.
Living abroad and extra payments
If you leave the UK for more than 3 months, GOV.UK says you must tell the SLC. Not doing so can build up arrears. Extra repayments are allowed and can be made through your online account, by card, bank transfer or cheque. Whether to make them is a personal choice, and the right answer differs for each plan.
Check before you act
Thresholds, rates and plan rules change, and the right plan for your own loan is shown in your online SLC account. Please confirm the details on the official pages linked below. Free help with money worries is available from MoneyHelper and Citizens Advice.
Sources
For information only. See our disclaimer and editorial standards. Spotted an error? Tell us.
