General · 13 August 2026
What the 6% student loan interest cap means for you
For the 2026-27 academic year, student loans in England under Plan 2 and Plan 3 will have their interest rate limited to a maximum of 6%. This maximum interest rate undergoes regular evaluation and is subject to alteration annually, encompassing all existing student loans as well as new ones. Many graduates with Plan 2 loans have struggled to reduce their overall debt, which is often tens of thousands of pounds.
Reported by BBC · How we write briefs