UK Student Loan Plans Compared: Plan 1, 2, 4, 5 and Postgraduate (2026/27)
Thresholds, rates, and write-off ages for all five plans. Updated 17 April 2026.
At a glance: all five plans for 2026/27
| Plan | Annual threshold | Monthly threshold | Rate | Write-off |
|---|---|---|---|---|
| Plan 1 | £26,065 | £2,172 | 9% | 25 years |
| Plan 2 | £29,385 | £2,449 | 9% | 30 years |
| Plan 4 (Scotland) | £32,745 | £2,729 | 9% | 30 years |
| Plan 5 (new) | £25,000 | £2,083 | 9% | 40 years |
| Postgraduate | £21,000 | £1,750 | 6% | 30 years |
Sources: gov.uk student loan repayment and Student Loans Company. Verified 17 April 2026.
Each plan in detail
Plan 1
Who qualifies: Started higher education in England, Wales, or Northern Ireland before 1 September 2012, or started higher education in Scotland before 1 September 1998 (and later transferred from Scottish-style loan).
Write-off: 25 years after April repayment was due (or age 65 for pre-2006 loans)
The oldest plan. Many borrowers have paid significant amounts already. Write-off at 25 years is shorter than Plans 2 and 5.
Plan 2
Who qualifies: Started higher education in England or Wales on or after 1 September 2012, and started their course before 1 August 2023.
Write-off: 30 years after the April following graduation
The most common plan. Large amounts outstanding for many graduates. The threshold rose significantly to £29,385 in 2026/27, up from £27,295 in 2024/25.
Plan 4
Who qualifies: Started higher education in Scotland on or after 1 September 1998, or transferred a pre-1998 Scottish loan to Plan 4 after April 2021.
Write-off: 30 years after the April following graduation, or age 65
Scotland-specific plan. The highest threshold of any income-contingent plan, meaning Scottish graduates start repaying later and at higher income levels. Set by the Scottish Government.
Plan 5
Who qualifies: Started higher education in England on or after 1 August 2023.
Write-off: 40 years after the April following graduation
The newest plan. Introduced with the 2022 higher education reforms. The threshold of £25,000 is lower than Plans 1, 2, and 4, meaning graduates start repaying earlier. The write-off period is 40 years, the longest of any plan. First graduates under this plan started repaying in April 2026.
Postgraduate Loan
Who qualifies: Took out a Postgraduate Master's Loan (from 2016) or a Postgraduate Doctoral Loan (from 2018) in England or Wales.
Write-off: 30 years after the April following course completion
Lower threshold and lower rate (6% vs 9%) than undergraduate plans. Often held alongside an undergraduate plan. Both are repaid simultaneously from different income thresholds.
What if you have more than one plan?
It is common to hold both an undergraduate plan and a Postgraduate Loan simultaneously. For example, a Plan 2 borrower who then did a Masters degree may hold both Plan 2 and a Postgraduate Loan.
HMRC collects repayments for each plan separately through PAYE. Your payslip will show separate deductions: one for your undergraduate plan (labelled SL) and one for your postgraduate loan (labelled PGL). Each is calculated independently against its own threshold and rate.
For the calculator on the homepage, if you hold both an undergraduate plan and the Postgraduate Loan, select the undergraduate plan in the dropdown. The calculator does not currently stack two plans simultaneously; for a combined estimate, note that the Postgraduate Loan adds 6% of earnings above £21,000 on top of your undergraduate plan's 9%.
How to find out which plan you are on
- Check your payslip: the deduction code will be SL (student loan) or PGL (postgraduate loan). Your employer should specify the plan when setting up payroll.
- Log in to the Student Loans Company: your online SLC account shows all your loans and their plan types.
- Check your original loan documentation: the repayment plan type is stated in your loan agreement.
- Contact the Student Loans Company: if in doubt, SLC can confirm your plan(s) by phone or online chat.