Student Finance & University Support

Student Finance & University Support

1. Tuition Fee Loans Explained

Tuition Fee Loans are available to all eligible UK undergraduate students regardless of household income. Key facts:

• Amount: Up to £9,535 per year for the 2025/26 academic year (for courses in England). This is paid directly to your university or college — you never see the money.
• Eligibility: UK nationals or those with settled status, ordinarily resident in the UK for at least 3 years before the course starts. EU, EEA, and Swiss nationals may have different eligibility depending on residency and settlement status. Check at gov.uk/student-finance/who-qualifies.
• Repayment: You start repaying the April after you graduate or leave your course, and only when you earn above the repayment threshold: £25,000 per year (Plan 5 loans, for courses starting from September 2023 onwards). You repay 9% of income above £25,000. For example, earning £30,000 means £450/year in repayments (£37.50/month).
• Interest: For Plan 5 loans, interest is set at RPI only (no real interest rate added). This is more generous than earlier Plan 2 loans (which charged RPI + up to 3%). Interest accrues from the day the loan is paid to your university.
• Write-off: Any remaining balance is written off 40 years after the April you become eligible to repay (Plan 5). For most graduates, this is more relevant than the total borrowed — what matters is monthly affordability, not the headline debt.
• Application: Apply online at gov.uk/student-finance. The application window opens in March for courses starting the following September. Apply by the late May deadline to guarantee funding is in place for the start of term. You do not need a confirmed university place to apply — use your first choice and update later if needed.

2. Maintenance Loan Calculator

The Maintenance Loan covers living costs — accommodation, food, books, travel. Unlike the tuition loan, this money is paid into your bank account in three instalments across the academic year. The amount depends on:

• Household income: The lower your household income, the higher your loan. For 2025/26, the maximum maintenance loan for a student living away from home outside London is £10,227 (household income below £25,000). The minimum is £3,790 (household income above ~£62,347).
• Where you live while studying: Living at home: up to £8,610. Living away from home (outside London): up to £10,227. Living away from home (in London): up to £13,348. Studying abroad (UK course, year abroad): up to £11,713.
• What counts as household income: For most students under 25, it is your parents’ or guardians’ combined taxable income from the prior-but-one tax year. If your parents are separated, it is usually the income of the parent you live with most (plus their partner, if any). If you are over 25, married, in a civil partnership, have a child, or have been financially self-supporting for 3+ years, your own income (and your partner’s, if applicable) is assessed instead.
• Use the official calculator: gov.uk/student-finance-calculator — enter your course details, living situation, and household income to get a personalised estimate in under 5 minutes.

Important: The maintenance loan is part of your total student loan balance and is repaid under the same terms as the tuition loan. However, it is almost always better to take the full loan you are entitled to and manage it sensibly than to under-borrow and struggle through the year — the repayment terms mean a larger loan does not increase your monthly payment (which is purely income-based), it only extends the time before write-off.

3. Scholarship & Bursary Finder

Beyond government loans, significant additional funding exists — but requires proactive searching and application:

• University bursaries: Most universities offer non-repayable bursaries of £500–£3,000 per year for students from lower-income households. These are often awarded automatically based on the household income data from your Student Finance application — but always check your university’s specific scheme and whether a separate application is required.
• Merit-based scholarships: Awarded for academic excellence, sporting achievement, musical talent, or community service. Values range from £1,000 to full tuition. Check your university’s scholarships page and external databases like thescholarshiphub.org.uk and scholarship-search.org.uk.
• Subject-specific funding: NHS Learning Support Fund (£5,000+ per year for nursing, midwifery, and allied health profession students — not repayable), social work bursaries, teacher training scholarships (up to £30,000 tax-free in priority subjects like chemistry, computing, maths, and physics).
• Charitable trusts and foundations: Organisations like the Carnegie Trust, Leverhulme Trade Charities Trust, and local educational trusts provide grants based on background, location, or family circumstances. Use Turn2us (turn2us.org.uk) to search for charitable grants you may qualify for.
• Disabled Students’ Allowance (DSA): Not income-assessed. Provides specialist equipment, non-medical help (interpreters, note-takers), and extra travel costs. Apply alongside your main Student Finance application. The maximum for 2025/26 is £26,948 per year for specialist equipment and support.
• Care leavers and estranged students: Most universities have a dedicated support package (often a full bursary of £2,000–£5,000 per year, 365-day accommodation, and priority access to hardship funds). Contact the university’s widening participation or student welfare team directly. Stand Alone (standalone.org.uk) also provides support for estranged students.

4. Postgraduate Funding Options

Postgraduate funding is more fragmented than undergraduate, but significant support exists:

• Postgraduate Master’s Loan: Up to £12,471 (2025/26) for eligible full-time, part-time, and distance-learning master’s courses. Repaid at 6% of income above £21,000 (Plan 3 loans), concurrently with any undergraduate loan repayments. The loan is a single contribution — you decide how to split it between fees and living costs.
• Postgraduate Doctoral Loan: Up to £29,390 (2025/26) for eligible doctoral programmes. Same Plan 3 repayment terms as the master’s loan but the combined total from both loans is counted towards your repayment calculation.
• Research Council funding (UKRI): PhD studentships from UK Research and Innovation councils (ESRC, EPSRC, AHRC, etc.) cover full tuition fees and provide a tax-free stipend (currently £19,237/year for 2024/25). Highly competitive — apply directly to the institution offering the funded project.
• Employer sponsorship: Many large employers sponsor part-time master’s or MBAs for employees. Ask your HR department about professional development funding. Some sectors (NHS, teaching, social work) have dedicated sponsored postgraduate routes.
• Charities and professional bodies: The British Federation of Women Graduates, the Sir Richard Stapley Educational Trust, and many professional bodies (ICE, IET, BPS) offer postgraduate grants of £500–£5,000.

5. Student Accommodation Rights

Whether you live in halls of residence or a private rental, you have legal protections:

• Halls of residence: If your university owns or manages your halls, you have a licence agreement (not an assured shorthold tenancy). This means the university has a duty of care — they must maintain the property, address repairs, and follow their own disciplinary procedures before eviction. Read your accommodation contract carefully: check the term dates, whether the room is available over Christmas/Easter holidays, and what notice period is required to leave early.
• Private renting: Most private student tenancies are assured shorthold tenancies (ASTs). Your rights include: the property must be safe (gas safety certificate, electrical safety, working smoke and carbon monoxide alarms), your deposit must be protected in one of three government-approved schemes (DPS, TDS, MyDeposits) within 30 days, and you are entitled to 24 hours’ written notice before the landlord or agent enters (except in emergencies).
• Joint tenancies: In a joint tenancy, you are jointly and severally liable — meaning if one housemate does not pay their share of rent, the landlord can legally pursue you for the full amount. Choose your housemates carefully and consider asking for individual tenancy agreements if possible.
• HMO licensing: If you share with 3 or more people forming more than one household (the typical student scenario), the property must hold a House in Multiple Occupation (HMO) licence from the local council. You can check your local council’s HMO register online. Unlicensed HMOs can trigger a Rent Repayment Order — you may be able to reclaim up to 12 months’ rent.
• Deposit disputes: At the end of the tenancy, if you disagree with deductions proposed by the landlord, you can raise a free dispute through the deposit protection scheme. Take photos of the property on move-in and move-out days — timestamped — as your evidence.
• Council tax exemption: Full-time students are exempt from council tax. If only students live in the property, no council tax is payable. If one non-student lives in the property, they may qualify for a 25% single-person discount (but the property is not fully exempt). Ensure you provide your university-issued council tax exemption certificate to the local authority.

6. University Hardship Funds

Every UK university has a hardship fund (sometimes called the Access to Learning Fund, Student Support Fund, or Financial Assistance Fund). These are non-repayable grants for students facing unexpected financial difficulty:

• What it can cover: Emergency accommodation costs, utility bills, food, travel to placement, childcare, essential course equipment, and digital access (laptop, internet). It generally does not cover tuition fees or anticipatory debt.
• How to apply: Contact your university’s student services, student money advice team, or students’ union advice centre. You will need to provide bank statements (usually 3 months), evidence of your Student Finance award letter, tenancy agreement or accommodation costs, and a breakdown of your essential expenditure.
• Assessment: Advisers assess your income against essential expenditure. Most awards are means-tested and range from £100 to £2,000. Payments are usually made within 2–3 weeks of a completed application.
• When to apply: As soon as financial difficulty arises — do not wait until you are in crisis. Hardship funds exist precisely for these situations, and the earlier you engage, the more options the adviser can offer. You do not need to be in debt to apply; anticipated shortfalls count.
• Other sources: Some universities have dedicated graduation support funds (covering cap and gown hire, graduation photography), sports and music bursaries, and digital poverty funds specifically for laptop and internet access. Check your students’ union website — many run food banks or subsidised community pantry schemes.

7. Part-Time Work & Tax

Most students work part-time during term or full-time during holidays. Understanding your tax and National Insurance position avoids unexpected deductions:

• Personal Allowance: You can earn up to £12,570 per year (2025/26) before paying any income tax. For most students working part-time, this means you will not pay income tax.
• National Insurance threshold: You do not pay NI on earnings below £242 per week. Above this, you pay 8% on earnings between £242 and £967 per week. If you earn below £123 per week, the year does not count towards your state pension NI record.
• Emergency tax: When you start a new job, you may be put on an emergency tax code (1257L W1/M1) if your employer does not have your full details. This often means you are taxed as if you have no personal allowance — you will overpay. If this happens, HMRC will usually send a refund automatically after the tax year ends, or you can call 0300 200 3300 to correct your code sooner. Always provide your P45 from a previous job if you have one.
• Student loan repayments and work: If you have an undergraduate (Plan 2 or Plan 5) or postgraduate (Plan 3) loan, repayments are deducted through PAYE automatically when you earn above the threshold. This applies even if you are still studying. The thresholds apply per employment — if you have two part-time jobs each paying £20,000, you will repay from both if each exceeds the threshold individually, even if your total income is £40,000.
• National Minimum Wage rates (April 2025): Age 21+ (National Living Wage): £12.21/hour. Age 18–20: £10.00/hour. Under 18: £7.55/hour. Apprentice rate: £7.55/hour (first year only). Check your payslip — underpayment is illegal and can be reported to HMRC or ACAS.
• Work limits for international students: Most Tier 4/Student visa holders can work up to 20 hours per week during term time and full-time during official holiday periods (as defined by your university, not public holidays). Exceeding this is a visa breach with serious consequences. Check your BRP or digital immigration status for your specific work conditions.

8. Student Bank Account Comparison

A student bank account is not just a current account — it is a financial product that can save you hundreds of pounds and provide an interest-free buffer. When comparing, focus on:

• Interest-free overdraft: This is the headline feature. Limits for 2025/26 typically range from £500 in Year 1 to £1,500–£3,250 by Year 3, depending on the bank. The overdraft is interest-free while you are a student and usually for 1–3 years after graduation (on a reducing or graduated basis). Always check the post-graduation terms — some banks convert the full overdraft to a standard (high-interest) facility immediately.
• Freebies and incentives: Railcards (saving 1/3 on rail travel — worth £70 over 3 years), restaurant discount cards (TOTUM / NUS Extra — £15/year), cash sign-up bonuses (£50–£100 with some banks), or subscription perks (e.g., a free year of Amazon Prime Student or discounted streaming subscriptions). Treat these as a bonus, not the primary criterion — overdraft terms matter far more financially.
• International features: If you plan to study abroad or travel, check for fee-free foreign transactions and ATM withdrawals. Some student accounts offer this; most do not. If your student account charges foreign transaction fees, consider a separate account with Starling, Monzo, or Revolut for overseas spending.
• Credit rating impact: A student account with a managed, interest-free overdraft can help build your credit history — provided you stay within the agreed limit. Regularly exceeding it, or having an unauthorised overdraft, damages your credit score. Use the overdraft as a cashflow buffer, not as free money.
• Switching: You can switch student accounts using the Current Account Switch Service (guaranteed, free, 7 working days). Do not feel locked in if a competitor offers better terms. Check that your new chosen account accepts switching at your current stage of study.

The MoneySavingExpert student bank account guide (moneysavingexpert.com/students) provides the most up-to-date comparison tables. Check annually — offers change every summer ahead of the new academic year.

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📞 Contact Student Finance England: Helpline 0300 100 0607 (Monday to Friday, 8am–8pm; Saturday and Sunday, 9am–4pm) | Web: gov.uk/student-finance | Student Finance Wales: 0300 200 4050 | SAAS (Scotland): 0300 555 0505 | Student Finance NI: 0300 100 0077

GOTOSHARP Information Hub resource article. Last updated: June 2026.