University students in England will be more than £500m worse off in real terms over the course of the next academic year, as the Government has failed to raise maintenance loans in line with inflation.
Individually, undergraduates will be hundreds out of pocket, following the Government’s decision to uprate maintenance loans from next September by 2.8pc – rather than in line with last year’s inflation rate of 9.1pc.
Some £8bn in maintenance loans was paid out in England last year, according to the most up-to-date Department for Education figures.
If uprated in line with inflation, this year’s cohort would receive £8.7bn. However, the Government is expected to pay out just £8.2bn overall, according to figures compiled for The Telegraph by investment firm AJ Bell.
