UK Student Debt Soars, Over 1.8 Million People in Significant Loan Burden

Data obtained by BBC News has unveiled a stark reality of student debt in the UK, with almost 1.8 million individuals now owing at least £50,000. Figures from the Student Loans Company (SLC) further highlight that more than 61,000 people carry debts exceeding £100,000, while a smaller cohort of 50 individuals face debts upwards of £200,000.

These statistics, released following a Freedom of Information (FOI) request, shed light on the financial burdens faced by graduates eligible to start repayments. According to the SLC, the average debt for loan holders in England at the onset of repayments has climbed from less than £45,000 to £48,470.

The escalation in debt balances is attributed to factors such as prolonged or multiple courses and accruing interest, which can significantly inflate loan amounts over time. Government data from 2023/24 indicates that approximately 2.8 million individuals in England made student loan repayments during that period. While only a fraction of these borrowers face debts exceeding £100,000, the majority are burdened with over £50,000 in loans.

Earlier this year, BBC News reported that the highest recorded student debt in the UK had surpassed £231,000. Recent updates reveal a further increase, with the peak debt now towering at £252,000, underscoring the ongoing financial challenges and the staggering amounts owed by some graduates.

The issue of student debt continues to be a pressing concern, prompting discussions about the affordability of higher education and the long-term implications for borrowers navigating repayment obligations amidst rising loan burdens.