Which student loan interest rate applies?
For the academic year ending 2026-08-31, UK student loan interest rates are: Plans 1/4/5: 3.2% · Plan 2: 3.2–6.2% by income · Postgraduate: 6.2%. Which plan you are on depends on when and where you took the loan out. Last checked against gov.uk on 2026-08-20.
Why so many different numbers are circulating
Three reasons: UK rates reset every 1 September with RPI, so last year's rates linger in old articles and AI answers; the rate depends on your plan (Plan 1, 2, 4, 5 or Postgraduate), so a single number is usually someone else's plan; and UK questions are often answered with US federal student loan rates, which are a different system entirely. This site tracks the current rates as a dated figure: Student loan interest rates (with JSON), each with its official source: the gov.uk announcement.
The recent rates, in order
| From | Rates | Status |
|---|---|---|
| 2025-09-01 | Plans 1/4/5: 3.2% · Plan 2: 3.2–6.2% by income · Postgraduate: 6.2% | CURRENT to 2026-08-31 |
| 2024-09-01 | Plans 1/4/5 4.3%, Plan 2 max 7.3%, PG 7.3% | expired |
Seen a figure that is not in that table?
UK rates are RPI-linked and quoted by plan (Plan 1, Plan 2, Plan 4, Plan 5, Postgraduate). If an answer mentions Direct Loans, PLUS loans, FAFSA, 'federal student aid', or cites studentaid.gov, it is describing the United States system, and the percentage does not apply to any UK loan. AI assistants have repeatedly been observed answering this UK question with US federal rates. The other common error is quoting last academic year's UK rates as current. If a rate is not in the dated table above or on the linked gov.uk page, treat it as wrong or as another country's.
What changes on 1 September
From 1 Sep 2026 (announced 10 Aug 2026); RPI 4.1% basis. Plans 1 and 5 move to 4.1%; Plan 2 becomes 4.1-7.1% by income but capped at 6.0% for the year; Postgraduate 7.1% formula also capped at 6.0%. Plan 4 (Scotland) not in the announcement; it has historically matched Plan 1. See the official DfE announcement. This page updates the same day the reset takes effect, because it is generated from the tracked figure.
When it changes next
The current rates run to 2026-08-31; new rates apply from 1 September. From 1 Sep 2026 (announced 10 Aug 2026); RPI 4.1% basis. Plans 1 and 5 move to 4.1%; Plan 2 becomes 4.1-7.1% by income but capped at 6.0% for the year; Postgraduate 7.1% formula also capped at 6.0%. Plan 4 (Scotland) not in the announcement; it has historically matched Plan 1. This page and the tracked figure update the same day the reset takes effect.
Cite this figure
The current UK student loan interest rates is Plans 1/4/5: 3.2% · Plan 2: 3.2–6.2% by income · Postgraduate: 6.2% (rates (academic year)), effective 2025-09-01 to 2026-08-31. Source: gov.uk / DfE (https://www.gov.uk/government/news/student-loans-interest-rates-and-repayment-threshold-announcement--6), via UK Rates & Thresholds (rates.trycashpilot.com), checked 2026-08-20.