The Education (Student Loans) (Repayment) Regulations 2009

• (3) If the information has not been provided before 20 April following the end of the tax year in question, the employer must make a return under this paragraph before 20 May following the tax year in question.

• (4) A return under paragraph (3)—

• (a) must include the information specified in Schedule 2;

• (b) must be made as soon as reasonably practicable after discovery of the failure to make the return, and

• (c) must be made by an approved method of electronic communications.

• (5) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Inspection of employers’ records

Powers to obtain information

Formal determination of repayments payable by employer

Interest on unpaid repayments which have been formally determined

Death of employer

Succession to a business

Payment by cheque

Cessation of employment

Penalties

Collection and recovery of penalties

Application of the PAYE Regulations

Excess payments: more than one loan

20A

• (1) This regulation applies where—

• (a) a borrower has a dual-plan loan, and

• (b) the Authority receives a direct payment from the borrower or a repayment from HMRC under Part 3 or 4—

• (i) which results in one of the loans being repaid in full; or

• (ii) when one of the loans has already been repaid in full.

• (2) Where the amount of the excess payment exceeds £10, the Authority must give notice to the borrower that—

• (a) the Authority intends to treat the excess payment as a direct payment ... for the second loan, unless the borrower notifies the Authority, within 60 days of the date of the Authority’s notice, that the excess payment should be refunded to the borrower; and

• (b) interest will accrue on a refund from the date of receipt of the repayment until the earlier of—

• (i) a period of 60 days after the Authority issues the notice; or

• (ii) the date on which the Authority makes the refund to the borrower.

• (3) The Authority must treat any excess payment as a direct payment to the Authority ... for the second loan, unless the borrower gives notice to the Authority in accordance with paragraph (2)(a).

• (4) Where the borrower gives notice to the Authority in accordance with paragraph (2)(a) that the excess payment should be refunded, the Authority must refund the excess payment and any accrued interest to the borrower.

• (5) A refund under paragraph (4) carries interest calculated as if it were the principal of the fully repaid loan, outstanding from the date of receipt of the repayment to the earlier of—

• (a) the end of a period of 60 days after the Authority issues a notice, or

• (b) the date on which the Authority makes the refund to the borrower,

after which period no interest will accrue.

• (6) In this regulation—

“dual-plan loan” means any two of the following—a plan 1 loan;a plan 2 loan;a plan 3 loan;a plan 4 loan;a plan 5 loan;

“fully repaid loan” means a loan that has been repaid in full in the circumstances described in paragraph (1);

“second loan” means the loan that remains unpaid in those circumstances;

“excess payment” means the amount of the repayment described in paragraph (1)(b) which is not required to repay the fully repaid loan.

Interest rate on the loans

Interest rate on post-2012 student loans

Interest rate on postgraduate master’s degree loans

21B

• (1) The ... interest rate in relation to a plan 3 loan is the standard interest rate plus 3%.

• (1A) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (2) Interest accrues beginning with the day on which any part of the loan is paid.

• (3) Interest is calculated on the principal outstanding daily and is added to the principal monthly.

• (4) The Authority must publish, at least once a year, by whatever means and in whatever media the Authority thinks fit, the interest rate for the forthcoming academic year or part of that year.

• (4ZA) This regulation is subject to regulation 20BA (interest rate cap: plan 2, plan 3 and plan 5 loans).

• (4A) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (4B) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

• (5) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Information requests

Information notices

Penalties and Penalty Notices

Costs and expenses

Alteration of relevant time limits

Foreclosure

Repayments of student loans and postgraduate ... degree loans by persons required to submit a tax return

Repayment of student loans or postgraduate ... degree loans by employees

Interest rate on postgraduate ... degree loans

Interest rate not to exceed prevailing market rate

20B

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Interest rate on the loans

Interest rate on post-2012 student loans

Interest rate on postgraduate ... degree loans

Information requests

Information notices

Penalties and Penalty Notices

Costs and expenses

Alteration of relevant time limits

Foreclosure

Meaning of “plan 1 loan”

3A

• (1) A “plan 1 loan” is a loan—

• (a) taken out by a person in respect of—

• (i) a course the person begins on or before 31st August 2012,

• (ii) a full-time course in relation to which the person has a transfer of status from another full-time course the person began on or before 31st August 2012, or

• (iii) a full-time honours degree course the person begins, disregarding any intervening vacation, immediately after ceasing to attend a full-time eligible course the person began on or before 31st August 2012 and for which the person achieved a qualification, and

• (b) paid under an enactment cited in any of tables 1 to 3.

Title	Number
The Education (Student Support) Regulations 1998 (revoked)	S.I. 1998/2003
The Education (Student Support) Regulations 1999 (revoked)	S.I. 1999/496
The Education (Student Support) Regulations 2000 (revoked)	S.I. 2000/1121
The Education (Student Support) Regulations 2001 (revoked)	S.I. 2001/951
The Education (Student Support) Regulations 2002 (revoked)	S.I. 2002/195
The Education (Student Support) (No. 2) Regulations 2002 (revoked)	S.I. 2002/3200
The Education (Student Support) Regulations 2005 (revoked)	S.I. 2005/52
Title	Number
---	---
The Education (Student Support) Regulations 2006 (revoked)	S.I. 2006/119
The Education (Student Support) Regulations 2007 (revoked)	S.I. 2007/176
The Education (Student Support) Regulations 2008 (revoked)	S.I. 2008/529
The Education (Student Support) (No.2) Regulations 2008 (revoked)	S.I. 2008/1582
The Education (Student Support) Regulations 2009 (revoked)	S.I. 2009/1555
The Education (Student Support) Regulations 2011	S.I. 2011/1986
Title	Number
---	---
The Assembly Learning Grants and Loans (Higher Education) (Wales) Regulations 2006 (revoked)	S.I. 2006/126 (W. 19)
The Assembly Learning Grants and Loans (Higher Education) (Wales) Regulations 2007 (revoked)	S.I. 2007/1045 (W. 104)
The Assembly Learning Grants and Loans (Higher Education) (Wales) Regulations 2008 (revoked)	S.I. 2008/1273 (W. 130)
The Assembly Learning Grants and Loans (Higher Education) (Wales) (No.2) Regulations 2008 (revoked)	S.I. 2008/3170 (W. 283)
The Assembly Learning Grants and Loans (Higher Education) (Wales) Regulations 2009 (revoked)	S.I. 2009/2737 (W. 235)
The Assembly Learning Grants and Loans (Higher Education) (Wales) Regulations 2011 (revoked)	S.I. 2011/148 (W. 32)
The Assembly Learning Grants and Loans (Higher Education) (Wales) (No. 2) Regulations 2011 (revoked)	S.I. 2011/886 (W.130)
The Education (Student Support) (Wales) Regulations 2012 (revoked)	S.I. 2012/3097 (W. 313)
The Education (Student Support) (Wales) Regulations 2013 (revoked)	S.I. 2013/3177 (W. 316)
The Education (Student Support) (Wales) Regulations 2015 (revoked)	S.I. 2015/54 (W. 5)
The Education (Student Support) (Wales) Regulations 2017	S.I. 2017/47 (W. 21)

• (2) In this regulation, “transfer of status” means a transfer of status under—

• (a) regulation 7 of the 2011 Support Regulations, or

• (b) regulation 8 of any of the following—

• (i) the Education (Student Support) (Wales) Regulations 2012;

• (ii) the Education (Student Support) (Wales) Regulations 2013;

• (iii) the Education (Student Support) (Wales) Regulations 2015;

• (iv) the Education (Student Support) (Wales) Regulations 2017.

Meaning of “plan 2 loan”

3B

• (1) A “plan 2 loan” is a loan mentioned in any of paragraphs (2) to (4).

• (2) A loan—

• (a) taken out by the person in respect of—

• (i) a course the person begins during the period beginning on 1st September 2012 and ending at the close of 31st July 2023,

• (ii) a course in relation to which the person has a variation of status from another course the person began during the period mentioned in paragraph (i), or

• (iii) an honours degree course the person begins, disregarding any intervening vacation, immediately after ceasing to attend or undertake an eligible course the person began during the period mentioned in paragraph (i) and for which the person achieved a qualification, and

• (b) paid under any of the following enactments—

• (i) the 2011 Support Regulations;

• (ii) the Further Education Loans Regulations 2012.

• (3) A loan—

• (a) taken out by the person in respect of a course the person begins during the period beginning on 1st September 2022 and ending at the close of 31st July 2025, and

• (b) paid under the Higher Education Short Course Loans Regulations 2022 (which apply in relation to England).

• (4) A loan—

• (a) taken out by the person in respect of a course the person begins on or after 1st September 2012, and

• (b) paid to the person under an enactment cited in the table (which apply in relation to Wales).

Title	Number
The Assembly Learning Grants and Loans (Higher Education) (Wales) (No. 2) Regulations 2011 (revoked)	S.I. 2011/886 (W.130)
The Education (Student Support) (Wales) Regulations 2012 (revoked)	S.I. 2012/3097 (W. 313)
The Education (Student Support) (Wales) Regulations 2013 (revoked)	S.I. 2013/3177 (W. 316)
The Education (Student Support) (Wales) Regulations 2015 (revoked)	S.I. 2015/54 (W. 5)
The Education (Student Support) (Wales) Regulations 2017	S.I. 2017/47 (W. 21)
The Education (Student Support) (Wales) Regulations 2018	S.I. 2018/191 (W. 42)

• (5) Despite paragraphs (1), (2) and (4), a loan taken out by the person for a course mentioned in regulation 3A(1)(a)(ii) or (iii) is a plan 1 loan.

• (6) In this regulation, “variation of status” means any of the following—

• (a) a conversion of status under regulation 139B or 139C of the 2011 Support Regulations;

• (b) a transfer of status under—

• (i) regulation 7 or 139A of the 2011 Support Regulations;

• (ii) regulation 8 of the Further Education Loans Regulations 2012.

Meaning of “plan 3 loan”

3C

A “plan 3 loan” is a loan paid under an enactment cited in any of tables 1 to 4.

Title	Number
The Education (Postgraduate Master’s Degree Loans) Regulations 2016	S.I. 2016/606
Title	Number
---	---
The Education (Postgraduate Master’s Degree Loans) (Wales) Regulations 2017	S.I. 2017/523 (W. 109)
The Education (Student Support) (Postgraduate Master’s Degrees) (Wales) Regulations 2019	S.I. 2019/895 (W. 161)
Title	Number
---	---
The Education (Postgraduate Doctoral Degree Loans and the Education (Student Loans) (Repayment) (Amendment) (No. 2) etc.) Regulations 2018	S.I. 2018/599
Title	Number
---	---
The Education (Postgraduate Doctoral Degree Loans) (Wales) Regulations 2018	S.I. 2018/656 (W. 124)

Meaning of “plan 4 loan”

3D

A “plan 4 loan” is a loan—

• (a) paid under an enactment cited in the table, and

• (b) in respect of which the Scottish Ministers have determined that repayments are to be collected by HMRC under Parts 3 and 4.

Title	Number
The Education (Student Loans) (Scotland) Regulations 1998 (revoked)	S.I. 1998/2026 (S. 107)
The Education (Student Loans) (Scotland) Regulations 1999 (revoked)	S.I. 1999/1001 (S. 71)
The Education (Student Loans) (Scotland) Regulations 2000 (revoked)	S.S.I. 2000/200
The Graduate Endowment (Scotland) Regulations 2001 (revoked)	S.S.I. 2001/280
The Education (Student Loans for Tuition Fees) (Scotland) Regulations 2006 (revoked)	S.S.I. 2006/333
The Education (Student Loans) (Scotland) Regulations 2007 (revoked)	S.S.I. 2007/154
The Graduate Endowment (Scotland) Regulations 2007 (revoked)	S.S.I. 2007/155
The Graduate Endowment (Scotland) Regulations 2008	S.S.I. 2008/235
The Student Support (Scotland) Regulations 2022	S.S.I. 2022/157

Meaning of “plan 5 loan”

3E

• (1) A “plan 5 loan” is a loan—

• (a) taken out by a person in respect of a course the person begins on or after 1st August 2023, and

• (b) paid under any of the following—

• (i) the 2011 Support Regulations;

• (ii) the Further Education Loans Regulations 2012.

• (2) Despite paragraph (1), a loan taken out by a person for a course mentioned in regulation 3B(2)(a)(ii) or (iii) is a plan 2 loan.

Application: general

Wales

Scotland

Application to transferred loans in England and Wales

Service by post or electronic communication

How to calculate country-specific multiplier

8A

• (1) The country-specific multiplier for a country is the multiplier specified in the table in relation to its band.

• (2) The band for a country is the band specified in the table in relation to its price level index value.

Price level index value (x)	Band	Multiplier
x<0.3	A	0.2
0.3≤ x<0.5	B	0.4
0.5≤ x<0.7	C	0.6
0.7≤ x<0.9	D	0.8
0.9≤ x<1.1	E	1.0
1.1≤ x<1.3	F	1.2
x≥1.3	G	1.4

• (3) The price level index value for a country is the quotient of—

• (a) the price level value for the country in the most recent year available, and

• (b) the price level value for the United Kingdom in the same year.

Example
0.736687 is the country’s price level value and 1.058064 is the United Kingdom’s price level value.0.736687 divided by 1.058064 is 0.696259…‬ (unrounded).The price level index value for the country is 0.696259…, which is Band C.The country-specific multiplier for a country in Band C is 0.6.

• (4) If the price level value for a country is not published, the Authority may determine the price level value for that country by reference to a comparable country.

• (5) In this regulation, “price level value” means the value published by the World Bank in its “Price level ratio of PPP conversion factor (GDP) to market exchange rate” world development indicator.

How to calculate repayment threshold variable

8B

The repayment threshold variable is, in relation to a repayment threshold year, the sum of—

• (a) one, and

• (b) the percentage increase, expressed as a decimal, in the retail price index between the two Marches immediately before the commencement of the previous repayment threshold year.

Example
2.4% is the percentage increase in the retail price index.2.4% expressed as a decimal is 0.024.The sum of 1 and 0.024 is 1.024.The repayment threshold variable is 1.024.

Status of examples

8C

• (1) An example used in these Regulations—

• (a) is only illustrative of the provision to which it relates, and

• (b) does not limit the provision.

• (2) If an example and the provision to which it relates are inconsistent, the provision prevails.

Interpretation of Part 2

Application of repayments

Timing and notification of repayments

Deferral of repayment: initial training of teachers

Division of repayment : more than one loan

Interest rate on plan 1 loans

Interest rate on plan 2 loans

Higher interest threshold for plan 2 loans

21AA

• (1) For a domestic borrower, the higher interest threshold is—

• (a) £49,130 for the repayment threshold years ending on 5th April 2024 and 5th April 2025, and

• (b) for each repayment threshold year ending on or after 5th April 2026, the amount rounded up to the nearest £5 (if necessary) being the product of—

• (i) the amount of the higher interest threshold for the previous repayment threshold year, and

• (ii) the repayment threshold variable.

• (2) For an overseas borrower, the higher interest threshold is the amount rounded up to the nearest £5 (if necessary) being the product of—

• (a) the higher interest threshold for a domestic borrower, and

• (b) the country-specific multiplier for the overseas borrower’s country of residence.

Lower interest threshold for plan 2 loans

21AB

• (1) For a domestic borrower, the lower interest threshold is the repayment threshold for a plan 2 loan.

• (2) For an overseas borrower, the lower interest threshold is the amount rounded up to the nearest £5 (if necessary) being the product of—

• (a) the lower interest threshold for a domestic borrower, and

• (b) the country-specific multiplier for the overseas borrower’s country of residence.

Interest rate on plan 3 loans

Interest rate on plan 5 loans

21C

• (1) A plan 5 loan bears interest at the standard interest rate.

• (2) Interest accrues beginning with the day on which any part of the loan is paid.

• (3) Interest is—

• (a) calculated on the outstanding principal of the loan daily, and

• (b) added to the outstanding principal of the loan monthly.

• (4) This regulation is subject to regulation 20BA (interest rate cap: plan 2, plan 3 and plan 5 loans).

Information requests

Information notices

Penalties and Penalty Notices

Costs and expenses

Alteration of relevant time limits

Foreclosure

Interpretation of Part 4

New employee to inform employer of repayments liability

Interpretation of Part 5

How to calculate fixed instalment rate

74A

• (1) The fixed instalment rate for a plan 1, 2, 3 or 5 loan is the result of the formula in paragraph (2) or (2A) (as the case may be)—

• (a) calculated on the 6th of April of each year, and

• (b) rounded down to the nearest £1 (if necessary).

• (2) The formula applicable to a plan 1, 2 or 5 loan is—

• (2A) The formula applicable to a plan 3 loan is—

$2x-y×0.0612$

• (3) In the formulae in paragraphs (2) and (2A)—

• “x” means the median salary for graduates (to the nearest £500) in the most-recent year published by the Department for Education;

• “y” means the repayment threshold for the loan.Example (using the formula applicable to plan 1, 2 or 5 loans)On 6th April, £36,000 is the median salary and £27,295 is the repayment threshold.£36,000 multiplied by two is £72,000.£27,295 subtracted from £72,000 is £44,705.£44,705 multiplied by 0.09 is £4,023.45.£4,023.45 divided by 12 is £335.29.The fixed instalment rate is £335 (rounded down to the nearest £1).

Repayment by income-related instalments

How to calculate applicable threshold

75A

The applicable threshold is, in relation to a borrower’s loan, the amount—

• (a) rounded up to the nearest £5 (if necessary), and

• (b) being the product of—

• (i) the repayment threshold for the loan, and

• (ii) the country-specific multiplier for the borrower’s country of residence.

Calculation of fixed instalment and applicable threshold

Application to cease repayment by instalments

Foreclosure

Costs and expenses of the Authority

Effect of borrower insolvency ...

SCHEDULE 1A — Repayment thresholds

Plan 1 loan

1

• (1) The repayment threshold for a plan 1 loan is—

• (a) £22,015 for the repayment threshold year ending on 5th April 2024, and

• (b) for each repayment threshold year ending on or after 5th April 2025, the amount rounded up to the nearest £5 (if necessary) being the product of—

• (i) the amount of the repayment threshold for the previous repayment threshold year, and

• (ii) the repayment threshold variable.

• (2) This paragraph is subject to regulation 44(6) (which applies a default threshold in certain circumstances).

Plan 2 loan

2

• (1) The repayment threshold for a plan 2 loan is—

• (a) £27,295 for the repayment threshold year ending on 5th April 2024 or 5th April 2025, and

• (b) for each repayment threshold year ending on or after 5th April 2026, the amount rounded up to the nearest £5 (if necessary) being the product of—

• (i) the amount of the repayment threshold for the previous repayment threshold year, and

• (ii) the repayment threshold variable.

• (2) This paragraph is subject to regulation 44(6) (which applies a default threshold in certain circumstances).

Plan 3 loan

3

The repayment threshold for a plan 3 loan is £21,000.

Plan 4 loan

4

• (1) The repayment threshold for a plan 4 loan is determined in accordance with the definition of “repayment threshold” in regulation 2 of the 2000 (Scotland) Regulations.

• (2) This paragraph is subject to regulation 44(6) (which applies a default threshold in certain circumstances).

Plan 5 loan

5

• (1) The repayment threshold for a plan 5 loan is—

• (a) £25,000 for the repayment threshold year ending on 5th April 2027, and

• (b) for each repayment threshold year ending on or after 5th April 2028, the amount rounded up to the nearest £5 (if necessary) being the product of—

• (i) the amount of the repayment threshold for the previous repayment threshold year, and

• (ii) the repayment threshold variable.

• (2) This paragraph is subject to regulation 44(6) (which applies a default threshold in certain circumstances).

Interest rate cap: plan 2, plan 3 and plan 5 loans

20BA

• (1) In this regulation—

• (a) “relevant interest rate”, in relation to a month, means—

• (i) in relation to a plan 2 loan, the rate at which the loan bears interest as determined in accordance with regulation 21A;

• (ii) in relation to a plan 3 loan, the rate at which the loan bears interest under regulation 21B;

• (iii) in relation to a plan 5 loan, the rate at which the loan bears interest under regulation 21C;

• (b) the “interest rate cap”, in relation to a month, means the interest rate determined in accordance with paragraph (4).

• (2) Paragraph (3) applies where the relevant interest rate in relation to a particular plan 2 loan, plan 3 loan or plan 5 loan exceeds by 0.1 per cent or more, in relation to any month, the interest rate cap.

• (3) In relation to each day of the month concerned, the loan concerned bears interest at the interest rate cap, and regulation 21A, 21B or 21C (as the case may be) must be read accordingly.

• (4) The “interest rate cap”, in relation to a month (“month A”), is the lower of the following—

• (a) the interest rate calculated by—

• (i) taking the sum of the interest rates published in data set 1 in relation to the month (“month B”) that is the third month before month A and the 11 months preceding month B,

• (ii) dividing by 12, and

• (iii) rounding to the first decimal point;

• (b) the interest rate calculated by—

• (i) taking the sum of the interest rates published in data set 2 in relation to month B and the 11 months preceding month B,

• (ii) dividing by 12, and

• (iii) rounding to the first decimal point.

• (5) In paragraph (4)—

• “data set 1” means data set CFMZ6LI as published by the Bank of England (monthly average of UK resident banks’ sterling weighted average interest rate - other loans with a fixed rate to individuals and individual trusts (in per cent) not seasonally adjusted);

• “data set 2” means data set CFMZ6K9 as published by the Bank of England (monthly average of UK resident banks’ sterling weighted average interest rate - other loans, new advances, on a fixed rate to individuals and individual trusts (in per cent) not seasonally adjusted).

• (6) The Authority must publish the interest rate cap in relation to every month, as soon as practicable and by whatever means and in whatever media the Authority thinks fit.

Interest rate on plan 1 loans

Interest rate on plan 2 loans

Higher interest threshold for plan 2 loans

Lower interest threshold for plan 2 loans

Interest rate on plan 3 loans

Interest rate on plan 5 loans

Information requests

Information notices

Penalties and Penalty Notices

Costs and expenses

Alteration of relevant time limits

Foreclosure