When Do Student Loan Repayments Start in the UK?
Published 6th November 2026·Updated 6 November 2026
Reviewed by: Money Saving Advice Editorial Team
When Do Student Loan Repayments Start in the UK?
Repayments start the April after you graduate or leave your course — but only once your income exceeds the threshold for your plan. If you earn below the threshold, you make no repayments even after the April start date.
The short answer
Summary
- Repayments begin the April after you finish or leave your course
- You only repay if your income is above your plan's threshold — no repayments are taken if you earn below it
- Plan 2 threshold (2026/27): £27,295 per year / £2,274 per month
- Plan 5 threshold (2026/27): £25,000 per year / £2,083 per month
- Repayments are taken automatically through PAYE if you are employed, or via Self Assessment if self-employed
- Repayments stop automatically if your income drops below the threshold
The short answer
This guide is for information only and does not constitute financial advice. Always check your eligibility and read the full terms before applying for any financial product.
When exactly do student loan repayments start?
Repayments begin on the 6 April following the end of your course. If you graduate in June or July, the following April is about 9 months later.
For example:
- Graduated July 2024 (Plan 2): repayments eligible from April 2025
- Started at university September 2023 (Plan 5), graduated July 2026: repayments eligible from April 2027
The Student Loans Company notifies you in advance. If you are employed, your employer receives a Start Notice from HMRC and deductions begin automatically through your payroll.
Do I always start repaying in April after graduation?
Only if your income is above the threshold. The April date is when you become eligible to repay — not when you necessarily do repay. If your salary is below the threshold, no deductions are taken.
If you are employed and your salary is above the threshold:
- Deductions start automatically through PAYE from the April following your graduation
- You do not need to do anything to set this up
- You can check your payslip — it appears as "Student Loan" deduction
If you are not working or earn below the threshold in April:
- No deductions are taken
- Repayments begin (or resume) automatically when your income does exceed the threshold
How much do I repay each month?
You repay 9% of income above your plan's threshold. The monthly calculation is based on your monthly earnings.
| Annual salary | Plan 2 (£27,295 threshold) | Plan 5 (£25,000 threshold) |
|---|---|---|
| £20,000 | £0 | £0 |
| £25,000 | £0 | £0 |
| £27,295 | £0 | £20/month |
| £30,000 | £20/month | £38/month |
| £35,000 | £58/month | £75/month |
| £40,000 | £95/month | £113/month |
| £50,000 | £170/month | £188/month |
Repayments are calculated monthly. If you receive a bonus in one month, the deduction for that month is higher. If your pay drops, the deduction reduces automatically.
What plan am I on?
Your plan depends on when and where you started your course:
| Plan | Who it covers | Threshold (2026/27) |
|---|---|---|
| Plan 1 | Northern Irish students; UK students who started before September 2012 | £24,990 |
| Plan 2 | English/Welsh students who started September 2012 – July 2023 | £27,295 |
| Plan 4 | Scottish students at Scottish universities | £31,395 |
| Plan 5 | English students who started August 2023 onwards | £25,000 |
| Postgraduate Loan | Postgraduate Master's and Doctoral loans (England/Wales) | £21,000 (6% rate) |
You can confirm your plan by logging in to your Student Loans Company account at gov.uk/repaying-your-student-loan.
What if I am self-employed?
If you are self-employed, repayments are not taken automatically through payroll. Instead, you declare your income through Self Assessment each year, and the Student Loans Company calculates your repayment as part of your tax return. You pay alongside your tax bill in January.
This means self-employed graduates sometimes face a larger one-off payment rather than monthly deductions. If this is your situation, budget for it.
What happens to repayments if I go abroad?
If you move abroad and earn income there, you are still required to repay your UK student loan. The Student Loans Company will ask you to make equivalent repayments based on your overseas income and the country's cost of living. You contact them directly and arrange payments.
Failing to notify the Student Loans Company when moving abroad and stopping repayments without arrangement is against the loan terms.
When do repayments stop?
Repayments stop when one of these happens:
- You fully repay the balance — including interest
- The write-off period ends — 30 years for Plan 2, 40 years for Plan 5 (from April following graduation)
- You reach age 65 (for Plan 1 only)
- Your income drops below the threshold — deductions stop automatically until income rises again
For more on how Plan 2 and Plan 5 compare overall, see our guide: Plan 2 vs Plan 5 Student Loan: What's the Difference?
FAQ
Can I defer student loan repayments if I am struggling financially? You cannot formally defer repayments — they are linked to your income. If your income drops below the threshold, deductions stop automatically. If you are struggling and earning above the threshold, the deductions still apply. Contact the Student Loans Company if your circumstances change significantly.
Will my employer know I have a student loan? Yes. Your employer receives a notification from HMRC and deducts repayments through payroll. The deduction appears on your payslip as "Student Loan." Your employer does not know your loan balance or which institution you attended.
What if I leave university early without graduating? The April start date applies from the April after you leave your course — whether you graduated or not. The Student Loans Company tracks your status and will notify you.
Can I make voluntary extra payments? Yes. You can overpay at any time by contacting the Student Loans Company. There are no penalties. Whether this is financially beneficial depends on whether you are on track to repay the full balance before write-off.
What happens if I get a pay rise above the threshold mid-year? Your employer will adjust deductions from the next payroll run. If you go above the threshold in the middle of the tax year, you start repaying immediately at that point.