Student Finance - Changes for new applicants
Are you thinking about joining Arts University Plymouth in 2023/24? We’ve put together a guide about the latest changes from Student Finance England that you should be aware of, so that you can join us confident about what happens next and reassured that the benefits of a creative degree far outweigh the costs.
One of the biggest changes announced by Student Finance England is the new repayment threshold. Under new rules, you won't have to start repaying your student loan until you earn over £25,000 a year. This is lower than the current threshold for graduates from previous years, but it does mean you’ll start repaying your student loan and hopefully pay it off earlier than you would have done under the previous rules.
Another big change is the loan write-off provision. If you haven't fully repaid your student loan after 40 years, it will be written off.
Finally, the interest rate on student loans has been reduced. The new interest rate is RPI, which is the rate of inflation. This means that you won't repay more than you borrowed (in real terms). MoneySavingExpert described this in an easy to understand way: “Borrow enough to buy 100 shopping trolleys' worth of goods at today's prices, and you only repay enough to buy the same 100 shopping trolleys' worth of goods at future prices.”
If you're thinking about going to university, don't let the cost put you off. With the new lower repayment threshold and lower interest rates, it’s worth calculating just how much you could be repaying earning different salaries to ensure it’s worth it to you. However, university isn’t just about the finances. There are many gains to studying - life changing for some - and on average, graduates earn more than non-graduates.
Professor Stephen Felmingham, Pro-Vice Chancellor at Arts University Plymouth, said in an Evening Standard article regarding the success of graduates, “Deciding to invest time and money in a university degree should absolutely improve your career prospects, but art, design and media are also integral to our happiness and well-being. The creative industries make communities in all parts of the UK happier, healthier places for us to live in, and offer fulfilling careers with a chance to make a difference in the world.”
There are so many reasons to study a creative degree, for one, the creative industries sector contributed a huge £109bn to the UK economy in 2021 accounting for 2.3 million jobs in the UK. Studying a creative degree can also help your mental health, with 93% of 16-18 year olds saying studying a creative subject impacted positively on their mental health and wellbeing.
Pursuing a creative degree can be a powerful form of personal growth, by challenging yourself to think critically and creatively, with the opportunity to push yourself outside your comfort zone. Through the process of creating, experimenting and reflecting, you can gain a deeper understanding of yourself, your values and your creative practice.
For more in depth information on these changes, please visit the MoneySavingExpert website.
For more information about fees and finances, please visit our Fees, Financing and Funding Page. If you would like more information on applications, please get in touch with our Admissions team by emailing email@example.com, call +44 (0)1752 203402 or WhatsApp us on 07722 744184.