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Student loan interest reaches 4.8% for 2008




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The Student Loans Company has calculated the 2008 fixed interest on all active student loans in the UK.
 
The regulatory body collects former students repayments through the tax system at 9% of any earnings above £15,000.

The loan interest is based upon the March retail price index, which reached 4.8% this year in the UK.

The rise from 2.4% means that UK students will shoulder a further £500 Million on top of the existing debt (£19 billion in 2005-06).

The UK student debt figure grows, on average, by £3 billion a year. A figure compounded by the introduction of 'top-up fees' which increase each individual student's debt by roughly £3000 a year.

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