Latest statistics from The Money Charity have revealed that English students owe more than ever before. The average debt for the graduates who entered repayment this year was £24,640, up from £21,170 in 2015. Due to incremental rises to tuition fees and maintenance loans, the sum owed by students has risen steadily for the past decade, tripling since 2003. Much of this is driven by the introduction, and gradual rise of tuition fees.
Student loans are set to rise further as this is the last group of students to pay a maximum of £3,465 in tuition fees before the rise to £9,000. 2017 graduates will immediately owe £16,605 more than their predecessors, before accounting for the rising maintenance loans. This year’s graduates, who will begin to repay next year will face average debt levels of well in excess of £41,000 – 35% of the average outstanding mortgage (£117,162).