Government confirms rise in student loan interest rates

Education web tile
Education web tile

University students across South Yorkshire face an increase in interest on their student loans.

The Government has ruled out changes to the planned rise up to 6.1 per cent from the autumn.

There had been speculation about a rethink over interest charges because of fears of excessive levels of debt as tuition fees rise above £9,000 a year for the first time.

But yesterday the Department for Education and the Student Loans Company confirmed the proposed increase.

The announcement comes as hundreds of students prepare to receive their A-level results tomorrow and find out about university places.

Those taking up courses this autumn will be charged 6.1 per cent on loans as soon as they arrive.

The increase from 4.6 per cent to 6.1 per cent in interest charges will also apply to other former students who have studied since fees were increased to £9,000 in 2012.

The Department for Education has been contacted for comment.