This page explains Plan 1 student-loan repayments for the 2025/26 tax year and lets you work out your own repayment. Undergraduate loans for English & Welsh students who started before 1 September 2012, and Northern Irish students.
Plan 1 at a glance (2025/26)
| Plan 1 | |
|---|---|
| Repayment rate | 9% of income above the threshold |
| Annual threshold | £26,065 |
| Monthly threshold | £2,172 |
| Weekly threshold | £501 |
| Write-off | Written off 25 years after the April you first became due to repay (loans from 2006–2012), or when you turn 65 for older loans. |
| Interest | Interest is the lower of RPI or the Bank of England base rate plus 1%. |
You repay 9% of everything you earn over £26,065 a year — nothing on the part of your income at or below the threshold.
Worked examples on Plan 1
| Gross salary | Over threshold | Repayment / year | Repayment / month | % of salary |
|---|---|---|---|---|
| £31,065 | £5,000 | £450.00 | £37.50 | 1.45% |
| £41,065 | £15,000 | £1,350.00 | £112.50 | 3.29% |
| £51,065 | £25,000 | £2,250.00 | £187.50 | 4.41% |
So on a salary of £41,065 a Plan 1 borrower repays £112.50 a month in 2025/26 — only 3.29% of the whole salary, because the first £26,065 is protected.
How Plan 1 repayments are collected
If you are employed, repayments come out of your pay through PAYE automatically once you earn over £2,172 in a month (SLC uses the per-period threshold, so a one-off bonus can trigger a deduction even if your annual pay is lower). If you are self-employed, repayments are calculated through Self Assessment. You only ever repay 9% of the slice above the threshold.
Plan 1 vs the other plans (2025/26)
| Plan | Threshold | Rate |
|---|---|---|
| Plan 1 (this page) | £26,065 | 9% |
| Plan 2 | £28,470 | 9% |
| Plan 4 | £32,745 | 9% |
| Plan 5 | £25,000 | 9% |
| Postgraduate Loan | £21,000 | 6% |
You can be on the Postgraduate Loan at the same time as an undergraduate plan — that adds a separate 6% deduction above £21,000. Use the toggle in the calculator to model both together.
2025/26 and 2026/27
The Plan 1 threshold is £26,065 in 2025/26 and rises to £26,900 from 6 April 2026 (the 2026/27 tax year). This page uses the 2025/26 figure throughout.
Sources & as-of
- Repayment rate and threshold: GOV.UK — Repaying your student loan (what you pay).
- 2025/26 / 2026/27 thresholds: House of Commons Library CBP-10654.
- Write-off and interest basis: GOV.UK — Student loans terms & conditions 2025/26; interest-rate announcement (RPI 3.2%).
- Tax year 2025/26 (6 April 2025 to 5 April 2026). Page data as-of 2026-06-18. Confirm current figures on GOV.UK.