For most students, a government loan is a means to get to university and study at a higher education level. Tuition fees and living costs associated with university can be expensive, so most students will need to plan well in advance to cover these expenses.
But how much money are you entitled to if you choose to take out a government student loan? Here, we share some of the things that will be taken into account when your entitlement is calculated, as well as other eligibility requirements to consider, so you can feel well-prepared as you take on this new chapter in your academic life.
Your household income
When deciding how much you’ll get, your household income will be taken into account – this is how much money your parents or guardians earn, if you’re a dependent student. You’ll also be expected to declare any taxable unearned income that you expect to receive in the coming academic year, such as from bank or building society gross interest, investments, and property rentals, among other sources. You won’t need to declare any money you’re expecting to earn through work during the academic year.
Student Finance will also take other factors into account, like any savings you or your family have (if you’re a dependent) as well as additional funding you’re receiving, such as a maintenance grant.
Your living arrangements
If you’re living away from home while you study, you’ll receive funding towards the cost of your rent. If you’re living at home you’ll get a little bit less, to reflect the fact that you won’t have housing costs directly related to your study.
Students living in London during their time at university may also be entitled to a larger maintenance loan than those residing out of London, simply due to the increased cost of living within the capital. Current figures for 2024 are as follows: you can receive up to £8,400 if you’re living at home, £9,978 if you’re living away from home, outside London, and £13,022 if you’re living away from home, in London.
The intensity of your course
Part-time students won’t always be entitled to student finance – it’ll depend on the intensity of their course. Course intensity is measured by how much of your course you complete each year in comparison to an equivalent full-time course. Part-time students will need to have a course intensity of at least 25% to be eligible for a student loan. Other factors will be taken into account when determining the overall entitlement amount.
Whether you’ve received a student loan before
Most undergraduate students will be entitled to a student loan, so long as it’s their first time studying (there are other factors to consider, such as whether or not you’re a UK resident). However, if you’re studying for an undergraduate degree for the second time, you’re unlikely to be entitled to funding.
Student Finance makes exceptions for some courses, such as nursing and healthcare degrees. You may also get funding if you failed to complete your previous degree due to circumstances beyond your control. How much you’ll get will depend on your individual situation, such as whether you’re returning to a course you’ve already started, or starting afresh on a new undergraduate degree.
What to do if your entitlement figure is low
It’s important to note that students who meet the residency criteria and who are studying eligible courses should have the entire cost of their tuition fee covered by their student loan – Student Finance will award you with a tuition fee loan that is paid directly to your university in instalments throughout your course. This type of loan isn’t based on household income.
Maintenance loans, on the other hand, take income and living arrangements into account. If you find that your entitlement figure is lower than you need, you can seek other types of funding, like scholarships, grants, bursaries, or private loans.
A government student loan offers a wonderful opportunity to pursue studies that’ll aid you in your career further down the line. No matter how you choose to pay for your education, remember that there are many options available and places to seek support should you need financial advice.
