Four students. Four funding systems. One cost of living

You might think that if four students walk through the doors of the same university, they'll all be getting roughly the same help with the cost of being a student.

They won't.

Where you are ordinarily resident, not where you choose to study, determines which of the UK's four student finance agencies deals with your application.

So imagine four students starting the same undergraduate course at the same English university this September.

Image made with AI

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Alex is from Leeds

   Aisha is from Cardiff.

Callum is from Glasgow.

Dayo is from Belfast.

Same lecture theatre. Same library. Same supermarkets. Same rent. But potentially four different funding packages......... and four different repayment systems when they graduate.

🐝 Our four students

To keep this genuinely like-for-like, let's give our four students exactly the same circumstances.

• 18-year old school/college leavers
• starting a standard full-time undergraduate course
• studying at an English university
• living away from home, outside London
• without dependants
• without a disability
• not part of a couple
• from households with an income of £25,000

The only thing we're changing is where they're ordinarily resident or domiciled. That matters because the four nations have developed four different student finance systems and, as you'll see, the differences aren't small.

The headline comparison

	Student Finance England	Student Finance Wales	SAAS Scotland	Student Finance NI
Tuition Fee Loan	£9,790	£9,790	Up to £9,790*	£9,790
Living-cost support	£10,830	£12,590	£9,900	£9,034
Non-repayable element	£0	£7,085 (grant)	£500 (bursary)	£2,261 (grant)
Total shown	£20,620	£22,380	£19,690	£18,824

Figures are for 2026/27 and all four students are assessed at the same £25,000 household income.

*For a Scottish-domiciled student studying in England, SAAS tuition support is provided as a loan, up to the applicable English fee level. Free tuition in Scotland only applies to eligible Scottish-domiciled students studying at Scottish institutions.

So what actually stands out?

England

Our English student gets £10,830 towards living costs. At this income level, that's the same amount whether household income is £0 or £25,000. There's no non-repayable grant in this particular example. The maintenance support is essentially all borrowing.

Wales

Our Welsh student receives £12,590 in living-cost support — and £7,085 of that is a grant rather than a loan. The balance between grant and loan changes as household income changes.

Scotland

Our Scottish student gets £9,900 living-cost support in this example, including a £500 bursary. SAAS doesn't use the same location-based maintenance rates as England and Wales. But if they choose to study in England, their tuition support isn't suddenly free.

Northern Ireland

Our Northern Irish student receives £9,034 towards living costs, including a £2,261 grant. As household income rises, the combined grant and loan support falls because the increase in borrowing doesn't fully compensate for the reduction in grant.

What about the rent?

Here's where the neat little table above meets real life.

Because rent doesn't care which student finance system you're on.

If all four students are paying the equivalent £200 a week for accommodation on a 43 week contract, so they need to budget £8,600 a year before they've bought a single tin of beans.

This is not an average rent but simply an illustration of what happens when you put a rent bill against a maintenance package.

	Living-cost support	£200 × 43 weeks rent	Left for everything else*
England	£10,830	£8,600	£2,230
Wales	£12,590	£8,600	£3,990
Scotland	£9,900	£8,600	£1,300
Northern Ireland	£9,034	£8,600	£434

*Illustration only. Actual accommodation costs vary enormously.

And that's the bit that can get lost when people talk about a maintenance loan as though it is disposable income. It isn't. For a student paying substantial rent, a very large chunk can disappear immediately before food, travel, books, course equipment, toiletries or the occasional attempt at having a life have even entered the picture.

And then there's the washing…

In university accommodation while wifi, utilities, gym membership might be included, tenant students may have to pay separately for communal laundry facilities. A few pounds here and there might not sound like much. But when you're paying a high rent already, stretching one pot of money across an entire term, every extra charge adds up.

And then you graduate…

You might reasonably think that the student who borrowed the most will necessarily repay the most. Student loans don't quite work like that.

The repayment plan depends on the system you're funded by. So our four students can graduate from the same university having studied the same course but find themselves on different repayment plans.

For 2026/27, the relevant undergraduate plans have different income thresholds before repayments begin. The amount you repay isn't determined simply by the balance you borrowed; it's also about which repayment plan you're on and how much you earn.

Annual income above which graduates repay 9% of earnings above the threshold, 2026/27.

A Scottish graduate (Plan 4) doesn't start repaying until earning nearly £9,000 a year more than an English graduate (Plan 5) on the exact same salary, a difference that has nothing to do with how much either of them borrowed, and everything to do with which nation they're from.

Same degree. Same salary. Different repayment rules.

But this isn't quite the end of the story…

There's another layer which doesn't appear in our table. And this is where things get particularly interesting for anyone who has ever administered university hardship funding.

The university support or hardship funds

The national student finance system is the first layer. University financial support can provide a second, discretionary layer.

Historically, many university hardship schemes still have their roots in the historic Access to Learning Fund (ALF). ALF was introduced in 2004, replacing previous hardship loan and grant arrangements, and ran for around ten years before central funding was withdrawn in 2014.

The old system used an income-assessment approach which broadly looked at what a student was expected to have available and what they reasonably needed. When central funding disappeared, universities were left to decide how they would provide their own support.

If the national system provides one student with less baseline support than another, a university hardship assessment may bridge some of that gap. Though should the university be expected to top up the statutory funding schemes of the devolved nations that pay their applicants less?

University support may sometimes help a student who is struggling. But funds are limited so some students are prioritised above others.

A university hardship fund is not an automatic top-up to student finance. It's often a mix of non-discretionary (matching student's circumstances to set fund criteria) and discretionary elements. Students normally have to apply, demonstrate a financial need and meet the university's own fund criteria.

Different universities have different schemes, different budgets and sometimes different assessment rules.

Ask early!

Your university's Student Money Adviser, Student Support Service or equivalent can tell you what extra help exists and whether you're eligible to apply. Do apply early, as demand can mean funds become depleted or even run out.

Four systems. One cost of living.

We often talk about “the student maintenance loan” as though there is one national system and one national experience. As we can see, there isn't.

There are four different systems. Four different approaches to grants and loans. Different income thresholds. Different repayment plans. Different amounts of support.

Students from all four nations can end up sitting in the same lecture theatre, paying the same rent, buying the same food and wondering why their friend seems to have a completely different student finance package and more money.

It's not necessarily because one student is being treated unfairly (though do check with a Student Money Adviser as funding errors do happen). It's because they're being assessed under different national systems.

A final Levitate thought…

Student finance isn't just about the amount written on the award letter. It's about what that money has to achieve in real life.

Rent. Food. Travel. Course costs. Laundry, Socialising etc. Also the unexpected expence you hadn't budgeted for. The week when everything seems to need paying at once. The end of term and your loan payment has nearly all gone but it's weeks till the next installment is due.

And sometimes, despite doing everything right, the numbers simply don't stretch.

That's when knowing where to look for help matters.

We'll be looking at university hardship funding in a separate Levitate Student article, including where the old Access to Learning Fund model came from, how hardship assessments have developed, and whether our ideas about which students are financially vulnerable have kept pace with the evidence.

Instead of asking: “How much student finance do I get?”

It might be better to ask: “What is my student financial support actually supposed to achieve and how can I make up any shortfall?”

Figures correct as of 20 September 2026, for the 2026/27 academic year, all assessed at £25,000 household income for comparability. Rates and thresholds change annually so always check the current-year figures before relying on any amount in this post. Primary sources:

gov.uk: Student finance: how you're assessed and paid 2026 to 2027 (England)

gov.wales: Rates of undergraduate student support 2026 to 2027 (SFWIN 02/2026)

saas.gov.uk: Full-time undergraduate funding (Scotland)

studentfinanceni.co.uk: 2026/27 Full Time Guide to Financial Support (PDF)

If your circumstances involve previous study, dependants, disability, or a different living situation from the profile above, your entitlement will differ from every figure in this post, speak to your university's Student Support/Advice Service before relying on any of these numbers for your own decisions.

Students and Council Tax: Do I have to pay?

 

🐝 A note before you start:

Student status, tenancy arrangements, Council Tax liability and entitlement to benefits can interact in complicated ways. The rules can also change. This article explains the principles, but it isn't a substitute for checking your own circumstances. If you're unsure who is liable for a bill or whether you are entitled to help, seek advice before paying or claiming.

Students, Council Tax and Rent

When students share a property with a non-student, people have framed the question of who pays what as a "moral dilemma" should the student perhaps chip in for a bill they are not actually liable for? Should the non-student share benefit income they receive to help cover a student's share?

We think this is the wrong starting point. So let's put some context on the matter of rent, Council Tax and entitlement to welfare benefits for these expenses.

As you know, Levitate is all about Rights and Responsibilities, and it's important to understand them.

So let's start with…

Rent

What is rent? Rent is a payment (of money or other means as agreed) to use a property.

What is included in the rent depends on the tenancy agreement, whether that is in writing or a verbal agreement.

For detailed information about rent and tenancy agreements, we recommend the charity Shelter.

Help to pay rent

Universal Credit ~ The housing element helps low-income or unemployed working-age people to pay their rent.

Housing Benefit ~ new claims are generally limited to people who have reached State Pension age or people living in certain types of supported or temporary accommodation. There are detailed rules and exceptions. Universal Credit has largely replaced Housing Benefit for working-age renters.

Most full-time Higher Education students are not entitled to claim means-tested welfare benefits. There are some exceptions, for example some lone parents, student couples with children and some disabled students, who may be eligible for help towards their rent (seek advice).

The rules can be complicated, particularly where a student shares accommodation with someone who is not a student, so it is worth getting advice about individual circumstances.

A non-student living in a shared property with students could apply for help to pay their rent liability if they are not working or are on a low income.

If the non-student is entitled to financial help with their own housing costs, that is their entitlement. It doesn't become money belonging to their student housemates.

All the tenants have a Responsibility to pay their rent, but it could be that only the non-student has the Right to claim welfare benefits to help towards their share of the rent.

Council Tax

Council Tax is a local tax charged on domestic properties. The amount charged depends on the property's valuation band and the local authority's Council Tax rate.

The local authority decides what charge applies to each Council Tax band. The local authority will also outline to residents what it has spent the Council Tax on each year. Local authority websites are often a good source of information about Council Tax.

Crucially, full-time students are normally disregarded for Council Tax purposes. This doesn't necessarily mean a student can never be legally liable for a Council Tax bill though. Generally, a property occupied only by full-time students is exempt from Council Tax.

Universities issue students with Council Tax Exemption Certificates or tell students how to inform the local authority that they are exempt. Where students live in university accomodation, excemption is usually automatic and the university manage the relationship with the local authority. Check the university/college website for information.

Help to pay Council Tax

Local authorities are responsible for running their own Council Tax Support schemes to help people on low income with their Council Tax bills. Again, local authority websites are a useful source of information. The schemes vary across local authority areas and can change from year to year.

Student income may be considered low and therefore on the maths alone, many could be eligible for Council Tax Support. The government make it easier though by making most full-time students exempt from paying Council Tax, so less hassle all round.

But being a student does not, in every circumstance, mean that a person can never be legally liable for Council Tax.

Full-time HE Students and Council Tax, who has to pay in the household? (Made with AI)

🐝 When students live with non-students (or even a part-time student), the residence is not exempt, so someone will be liable for the Council Tax. If there is only one person who counts for Council Tax purposes and everyone else is disregarded for example, because they are full-time students the bill will normally be reduced by 25% and, if their income is low may receive help to pay in the form of Council Tax Support.

🐝 If the non-student is also exempt from paying Council Tax for other reasons, the discount on the bill would be 50%. Who would be liable to pay the bill can be complex and depends on a hierarchy of liability so seek advice if you are not sure.

🐝 A student may have to pay the Council Tax even though they are disregarded when calculating the discount for the bill. This can happen to a student who is the only tenant or who owns their own home but lives with an adult who is not a student.

For example, a mum who is a full-time student and owns her own home, whose adult (not in education) son lives at home with her: the property is not exempt, mum as a full-time student is disregarded so the bill is discounted by 25%, but as she is the owner-occupier, she is liable for the bill. We would agree that in these circumstances there is a bit of a moral dilemma regarding the son helping mum out with the bills.

A financially capable approach

From a financially capable perspective, we would recommend that you don't pay bills you are not liable for, there is no moral dilemma here. If you are unsure about whether or not you are liable for a bill, then always seek advice from your University Money Adviser or community advice such as Citizens Advice.

Sources & further information

For current information about Council Tax, benefits and tenancy matters, check GOV.UK, your local authority, Turn2Us, Money Helper, Shelter and Citizens Advice. The rules can change, and individual circumstances can affect entitlement and liability.

Will I be funded if I have studied before at Higher Education Level?

Previous Study: How It Affects Your Tuition Fee Loan Entitlement

This post covers the rules for students funded by Student Finance England. There are some technical exclusions not covered here, always check with your funder or a money adviser for your specific circumstances.

If you've studied at Higher Education level before, even briefly, even if you didn't finish, it's likely to affect how much tuition fee funding you're entitled to on a new course. This catches a lot of people out, because “previous study” isn't just about failed courses; it includes courses you completed, courses you left early, and sometimes courses that don't feel like they should count at all.

The basic rule: no previous study

If you've never studied at HE level before, your Standard Entitlement is straightforward: the ordinary duration of your course, plus one year. That extra year is there to allow for an academic wobble, starting a course elsewhere if it doesn't suit you, or repeating a year if you fail without losing fee funding.

Previous study: the general rule

If you have studied at HE level before, the formula changes. For most students (regulation 21), the Standard Entitlement becomes:

Ordinary duration of the course, plus one year, minus the number of years already spent on previous courses

Same 3-year course: no previous study leaves a spare year in hand, but one year of previous study uses it up entirely.

Notice that in the second scenario, the standard entitlement isn't short, it exactly matches the length of the course. That's often mistaken for being fully covered. But “exactly matches” means there's no spare year anywhere in the entitlement, for any reason, at any point in the course. If a repeat is ever needed, there's nothing left to draw on.

This is a common scenario, and a genuinely dangerous one, because students in this position often don't discover the gap until the moment they actually need to repeat a year and that moment can just as easily fall in the final year as the first. Failing a module or needing to repeat when you're one year from finishing, only to find there's no funding left to do so, is one of the most devastating ways this can play out.

The deduction is the part that catches people out. Every academic year you've previously spent on HE-level study normally counts against your new entitlement, year for year  whether or not you completed it, and whether or not you were funded for it! This is because HE-level study is subsidised by the government and even if student loans are not taken out a contribution to the study has taken place. 

Two common misunderstandings:

●       “I didn't finish, so it shouldn't count.” It usually still counts. The formula deducts years spent, not years completed. This is exactly where Compelling Personal Reasons can help, see our separate post on that ~ here

●       “It was a different subject, so it's unrelated.” The rules look at level and type of study more than subject in most cases (though there are exceptions). A previous HND, foundation degree, or unfinished honours degree in an unrelated field can still reduce your entitlement.

How a shortfall lands on Year 1, not the final year, because entitlement is allocated backward from the final year.

Any funding entitlement is allocated backward from the final year, so a shortfall in entitlement typically shows up as an unfunded early year, not a missing final year, which is rarely what people expect. Students sometime hope they will have time to save for the final year, only to discover its their first year that is unfunded.

Where CPR fits in

If you failed to complete your most recent previous course because of Compelling Personal Reasons, you may qualify for an extra fee loan that specifically covers the first year of your new course (regulation 19(8)) — on top of, and calculated separately from, the deduction above.

How the reg 19(8) CPR year fills the gap left by previous study, for a student with two years of previous study on a 3-year or 4-year course.

The exception: end-on courses and certain progressions

The rule above does not apply to everyone. If you're on an end-on course, or you've completed a qualification like a foundation degree and progressed onto a directly linked course (such as an honours “top-up” year), you fall under a separate regulation (regulation 22) with a different formula entirely, based on the greater of three years or your course length, adjusted for the length of your previous (“preliminary”) course.

This exists to stop students on a structured pathway, foundation degree into honours year, for example from being penalised as if they'd started two unrelated courses from scratch. It's genuinely one of the more complex corners of the system, and there isn't a worked diagram for it here, because it deserves its own post. If your course involves any kind of progression, top-up year, or linked qualification, always confirm directly with your funder how your entitlement is being calculated and perhaps double check with a university Student Money Adviser.

A word of caution: don't start before you know!  This matters most if you're a late applicant or came through Clearing. It's tempting and sometimes unavoidable, to start a course before Student Finance has confirmed your funding decision. If you are reliant on student funding but your entitlement turns out lower than expected because of previous study, you may not find out until the decision arrives, by which point you're already committed. Because entitlement is allocated backward from the final year, a shortfall usually hits earlier years and most often the first. In practice, this can mean starting a course, incurring a full tuition fee liability (£9,000+) for a year you assumed was covered, and only discovering the shortfall once it's too late to make a different decision. If that liability isn't settled with the university, it can become a debt that prevents you progressing into the later years of the course, the very years your funding does cover! Before you commit to starting any course, especially through Clearing or as a late applicant: get your funding application in as early as possible, and if you have any history of previous study, ask your funder directly or speak to a Student Money Adviser to clarify what your entitlement is expected to be, ideally before enrolling.

The takeaway

Previous study always needs declaring, even when it doesn't feel relevant, and which formula applies to you depends on the type of previous study, not just how much of it there was. If you've had any break in study, changed course, or progressed from one qualification to another, get advice before you rely on assumptions about what you're entitled to.

See also: CompellingPersonal Reasons for repeat years and course changes caused by illness, bereavement, or other compelling circumstances. CPR doesn't always involve previous study (it's most often used for a straightforward repeat year), and not every previous-study case involves CPR, so the two posts are cross-linked rather than merged.

See also: Previous Study Page 

This post is based on the Education (Student Support) Regulations 2011 (as amended), which govern student finance in England. For the current, definitive text, always check legislation.gov.uk directly. If your circumstances involve previous study, a change of course, or a progression pathway, speak to your university's Student Support/Advice Service or a qualified money adviser before making decisions based on this post.