Student debt to reach £20,000
Students who started university last year are expected to owe nearly £17,500 by the time they finish their studies, according to a survey by student survey organisation Push, and Lloyds TSB.
The survey revealed that average student debt is currently greater than £4,000 per year, a figure set to increase, with students starting their studies this year likely to face total debts of up to £20,000 by the time they graduate.
Catherine McGrath, spokesperson for Lloyds TSB, commented: “Whichever way you look at it, student life has always been costly, but the introduction of top-up fees is clearly reflected in these figures.”
However, the increase in levels of debt is not significantly greater than the increase in tuition fees, suggesting that students’ other costs haven’t risen considerably.
“Students are becoming more financially aware, and the need to manage debt is becoming an increasing priority,” continued McGrath. “With the pressures of escalating house prices, and increased competition for graduate jobs, its essential that students find way to keep their debts to a minimum.”There is considerable variation between universities in terms of the level of student debt incurred. While the national average stands at £13,000, at nine universities this figure is greater than £20,000.