The Department for Education on 19th August 2025 confirmed annual updates repayment thresholds for Plan 1 and Plan 5 Income Contingent Student Loans.
Income Contingent Repayment Student Loans
Undergraduate loans
Income Contingent Student Loans for Plan 1 (1998-2012) undergraduate loans
The repayment threshold for Plan 1 loans will rise to £26,900 from 6 April 2026 to 5 April 2027.
Income Contingent Student Loans for Plan 2 (2012-2023) undergraduate loans
The income threshold and lower and higher interest thresholds for repayment of Plan 2 loans to apply from April 2026 will be announced in due course.
Income Contingent Student Loans for Plan 4 (Scotland)
The repayment threshold for Plan 4 loans will be announced in due course.
Income Contingent Student Loans for Plan 5 (from 2023 academic year) undergraduate loans
The income threshold for repayment of Plan 5 loans due to come into repayment from April 2026 is £25,000.
Postgraduate Loans – Plan 3
The income thresholds for repayment of Postgraduate Masters and Doctoral Loans to apply from April 2026 will be announced in due course.
Mortgage Style Loans
The deferment threshold for mortgage style loans to apply from 1 September 2025 until 31 August 2026 will be £41,613.
Any queries from borrowers who have mortgage style loans should be addressed to their loan administrator.
psp 26/8/2025