Almost 1.8 million people in the UK now owe at least £50,000 in student debt, according to data obtained by BBC News. Figures from the Student Loans Company (SLC) reveal that over 61,000

individuals have balances exceeding £100,000, while another 50 people each owe upwards of £200,000.

These statistics were released following a Freedom of Information (FOI) request for details on loan holders with above-average debts eligible to start repayments. The SLC previously stated that the average balance for loan holders in England when they begin repayments was under £45,000. However, new government data indicates this amount has now increased to £48,470.

Balances can be significantly higher for those pursuing multiple or extended courses and often rise rapidly due to accruing interest. In the 2023/24 financial year, approximately 2.8 million people in England made student loan repayments, suggesting that while only a small fraction of those repaying their balances owe over £100,000, the majority owe more than £50,000.

Earlier this year, the BBC reported that the highest student debt in the UK was over £231,000, a figure that has now risen to £252,000. Tom Allingham from Save The Student described such balances as "alarming," but emphasized they are not representative of the norm.

Personal finance expert Martin Lewis explained to the BBC that student debts should be viewed more like a "limited form of graduate tax." Speaking on Radio 4's Today programme, he noted, "Student finance for the vast majority of students is not about what you owe, but what you earn—you repay 9% of everything above a threshold." For instance, those with "Plan 2 loans" pay 9% of everything earned over £27,295.

The National Union of Students (NUS) criticized the main political parties for not offering reforms to the student finance system in their election campaigns. Debts are typically written off at the end of loan terms, which can be 30 or 40 years depending on the course and start date.

Some heavily-indebted graduates have expressed their concerns about the current system to BBC News. For example, Titi, a senior electrical engineer from Croydon, saw his student debt—which exceeds £128,200—increase by £788.11 between April and June this year. Titi, who completed a four-year course at London South Bank University and two years studying for a Higher National Diploma, believes it is impossible to repay the full balance due to the nearly 8% interest rate driven by high inflation. He fears high debts may deter people from pursuing higher education.

Since tuition fees were tripled in England over 10 years ago, fees have cost a maximum of £9,250 per year across the UK, except in Scotland, where Scottish students pay a maximum of £1,820. Ben Waltmann from the Institute for Fiscal Studies noted that many who borrowed large amounts on "Plan 2" loans are unlikely to repay the full amount.

Claire Callender, a professor of higher education policy, told the BBC that such high debts are likely to negatively impact graduates' lives. Nick Hillman, director of the Higher Education Policy Institute, expressed shock at the number of individuals with more than £200,000 in student debt, suggesting that at these levels, the student loan system is ineffective.

In response to the FOI request, the SLC mentioned that high balances might include several loan products, such as Advanced Learner Loans and funding for undergraduate, postgraduate Master's, and Doctoral courses. High student debts may also result from studying multiple or lengthy courses or holding more than one loan plan type.

Despite owing over £101,500, foundation year 2 doctor Abbie Tutt appreciates that student loans do not impact credit scores. However, she is disheartened by the length of time she will spend repaying the debt, especially compared to older colleagues who benefited from more favorable terms.

Chloe Field, the NUS vice president for higher education, pointed out that means testing for maintenance loans often results in students from working-class backgrounds accruing more debt. They also tend to repay their loans more slowly, leading to higher interest payments. Save The Student's Tom Allingham emphasized that the revelation of graduates with over £200,000 in debt highlights the need for reform.

While the Conservatives have frozen tuition fees and ensured that no one repays more than they borrowed in real terms, neither the Tories nor Labour have proposed new policies on tuition fees or student debt. Labour's manifesto acknowledges that the current higher education funding system "does not work" and promises action to secure the future of higher education. The Liberal Democrats propose reinstating maintenance grants for disadvantaged students and reviewing higher education finance, while the Green Party advocates for abolishing tuition fees and Reform promises to eliminate interest on student loans.