Graduates in England leave university with more than £47,500 in student debt, according to the latest statistics. Figures from the 2025-26 financial year suggest that the amount borrowers owe when they first become eligible to repay has, on average, fallen compared to the year before. But is a university degree worth it?
And can graduates still expect to earn sufficiently more than those without a degree to cover the cost of going in the first place? Last August, the annual cost of an undergraduate degree in England and Wales went up to £9,535 a year. It rose again to £9,790 in 2026.
The increases came after universities expressed growing concerns about funding pressures in recent years, pointing out that tuition fees had been frozen at £9,250 since 2017. They argued that inflation meant those fees were worth less in real terms and there had been fewer international students to help make up the financial shortfall. In October 2025, the government said university tuition fees in England would go up every year in line with inflation from 2026.
They are expected to increase every year by an inflation measure called the Retail Price Index minus mortgage payment interest, or RPIx. In Northern Ireland, external, the maximum annual cost of an undergraduate degree is £4,855 for Northern Irish students or £9,535 for other UK students. That will rise to £4,985 and £9,790 respectively in 2026-27.
In Scotland, external, undergraduate tuition is free for the majority of Scottish students and £9,535 for other UK students - rising to £9,790 in 2026-27. Student loans are made up of two components, external: Most people are entitled to the tuition fee element, which is equal to the annual cost of their course. Maintenance loans are means-tested, so how much you can borrow depends on your family's income, and may not cover your actual bills.
The maximum maintenance loan for students in England is also set to increase by inflation every year from 2026. For example, the maximum maintenance loan for students from England who live away from their parents outside London will increase to £10,830 for 2026-27, up from £10,544 the year before. You are charged interest on your total loan from the day you take it out, but do not have to start paying it back until your annual income reaches a certain level.
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