Tuition fees and maintenance loans to rise in England – Martin Lewis explains what it means for you
Universities in England will be able to charge full-time undergraduate students up to £9,535 a year from 2025/26, Education Secretary Bridget Phillipson has announced today (Monday 4 November). Student living loans, also known as maintenance loans, will also rise by 3.1%, in a move MoneySavingExpert.com founder Martin Lewis called "better than nowt".
Other changes announced by the minister include cutting the maximum tuition fees for classroom-based foundation years courses, such as business and humanities, in England to £5,760 from the 2025/26 academic year – down from £9,250.
The Lifelong Loan Entitlement will also come into force in England from the 2026/27 academic year. This will enable people up to the age of 60 to gain access to flexible student finance for up to four years' worth of post-18 education.
Tuition fees will rise by £285 for full-time students in England
The current £9,250 cap on tuition fees in England has been frozen since the 2017/18 academic year. But tuition fees will rise by 3.1% in 2025/26 in line with a prediction for the measure of inflation equivalent to the all-items Retail Prices Index excluding mortgage interest payments, known as RPIX, for the middle of that academic year. According to the Government, increasing tuition fees in England will help to "ensure the financial stability of the university sector".
This increase applies to undergraduates from anywhere across the UK starting or continuing full-time and part-time courses in England:
2024/25 | 2025/26 | How much they're rising by | |
Full-time | £9,250 | £9,535 | +£285 |
Part-time | £6,935 | £7,145 | +£210 |
Accelerated | £11,100 | £11,440 | +£340 |
However, the amount tuition fees in England increase by WON'T impact the amount most people pay each year. Before the announcement was officially made, Martin responded to the rumours on X (formerly Twitter) by busting four common student finance misunderstandings:
It's rumoured the English £9,250 tuition fee cap may be raised this afternoon for the first time in eight years, as universities' finances are strained. As student finance misunderstandings abound, I've bashed out a few notes to help...
1. Higher tuition fees WON'T change what most pay each year. For most, they're paid for you by the Student Loans Company and you repay afterwards only if you earn over the threshold. The amount you repay each year (9% over the threshold) solely depends on what you earn, not on what you borrow.
2. Increasing tuition fees will only see those who clear the loan in full over the 40 years pay more. That is generally mid-high to higher-earning university leavers only, so the cost of increasing tuition fees will generally be born by the more affluent. Most lower- and middle-earning university leavers will simply pay 9% extra tax above the threshold for 40 years (and higher tuition fees won't change that).
3. The rise in tuition fees is likely to be trivial compared to the changes the last Government made for 2023 starters. 2023 starters had their repayment thresholds dropped to £25,000 (from £27,295 a year) and had the time they had to keep repaying for (unless cleared) extended to 40 years from 30 years.
So these higher annual repayments for longer, increased by over 50% the amount many graduates will eventually have to pay back for going to university. Yet they were almost stealth changes because people can't intuitively feel the seismic impact.
Changing tuition fees is a more obvious rise, but in reality has far less of an impact on the amount most will repay (though combined with the 2023 changes it does certainly up the cost).
4. The biggest practical problem for students isn't tuition fees (even if raised), it's the fact maintenance loans aren't big enough. English maintenance loans have not kept pace with inflation. I'd urge the Government to couple the tuition fee loans with bigger living loans – if not, it is a real risk to social mobility, with those from the poorest backgrounds likely to be worse affected.
I could write more, but will stop here. Hopefully this gives an idea that the issues are less straightforward than many feel.
See our guide for full info on how Student loans in England currently work.
Student maintenance loans will also rise by 3.1%
Alongside a tuition fee loan, undergraduate students are also entitled to a loan to help with living costs, known as a 'maintenance loan'.
Ms Phillipson has announced that maintenance loans for students from England will also rise by 3.1% in 2025/26 in line with the RPIX measure of inflation for the middle of that academic year. This also applies to both students starting or continuing their courses. Here's what the changes mean for you, depending on where you'll be living:
At home, outside of London? It'll rise from £8,610 to £8,877 a year (a £267 increase).
Away from home, in London? It'll rise from £13,348 to £13,762 a year (a £414 increase).
Away from home, outside of London? It'll rise from £10,227 to £10,544 a year (a £317 increase).
Studying abroad as part of a UK course? It'll rise from £11,713 to £12,076 a year (a £363 increase).
Responding to the announcement on X (Twitter), Martin said:
Thankfully, maintenance loans to rise with inflation (3.1%). It won't catch up the many substantially lower than inflation rises in previous years, but it's better than nowt.
For years now, English maintenance loans haven't kept up with real living costs, particularly during the cost of living crisis. This is something Martin has pushed to be changed, writing to both the last Chancellor and the current Chancellor. To explain further, this table shows how maintenance loans have been cut in real terms:
Academic year | Living with parents | Living away from home – outside of London | Living away from home – in London |
2021/22 | £7,987 | £9,488 | £12,382 |
2024/25 | £8,610 | £10,227 | £13,348 |
2025/26 | £8,877 | £10,544 | £13,762 |
2025/26 loan had it risen with CPI inflation (1) | £9,839 | £11,688 | £15,253 |
Real terms cut in loan next year | £962 (9.8%) | £1,144 (9.8%) | £1,491 (9.8%) |
(1) CPI (Consumer Prices Index) for each December since 2021, except 2024 as December inflation isn't out yet (latest September CPI is used). Source: Office for National Statistics.
Some of Martin's social media followers questioned whether the rise in tuition fees and maintenance loans cancelled each other out – here's what Martin said on X (Twitter):
Just to be really clear, if you asked me: 'Is it worth raising maximum tuition fees by 3.1% to get a 3.1% rise in maintenance loans?'. My answer is 'YES'.
Tuition fee rises don't affect most first-time students (unless they're so wealthy they opt not to get loans). They affect graduates, and the only ones who will pay more due to the rise are mid-high to high-earning graduates (and only a small percentage more).
The terrible degradation of living loans has hit those from low income backgrounds – who can't afford to live while they study – and thus social mobility. So a rise is important, though more is needed to catch up with the huge past years' real term cuts.
How tuition fees and maintenance loans work for those studying elsewhere in the UK
Tuition fees and maintenance loans vary depending on where in the UK you're from and where in the UK you're studying. The governments in Scotland and Wales have yet to confirm tuition fees and maintenance loans for 2025/26, though the Scottish Government has "resolutely committed" to keeping tuition free for Scottish students.
In Northern Ireland, a 2.3% tuition fees rise has been put forward for 2025/26, though this still needs to be voted on by the Northern Irish Assembly, which is expected to take place in the New Year. This will apply to Northern Irish students who are studying in Northern Ireland. A decision on maintenance loans for Northern Irish students studying across the UK has yet to be made.
For full info on how the systems work in the current 2024/25 academic year, see our guides on student loans in Northern Ireland, Scotland and Wales. To find out how much support you could receive towards your living costs, use our University Parental Contribution calculator.
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