Students owe nearly £500m of ‘hidden debts’ to UK universities, figures reveal | Students
Students have accrued nearly £500 million of “hidden debt” to their universities, including library fines, unpaid accommodation and support loans, according to figures highlighting the cost of the life crisis on UK campuses.
Figures obtained from freedom of information requests sent to 148 UK universities showed that 180,000 students and graduates owed universities a total of £486 million in private debt, or an average of £2,650 each.
This means many students accumulate thousands in private debt on top of tuition fees and maintenance loans, leaving them facing further financial difficulties before they start their careers.
Of the 77 universities that responded with detailed figures, universities in Scotland were among the worst affected. Students at the University of the West of Scotland owed a total of £29 million in private debt, while students at the University of Strathclyde owed their university almost £23 million.
The University of Strathclyde and the West of Scotland is headquartered in Glasgow, where students have faced steep rent increases in recent years.
In England, students at the University of Sunderland owed more than £24 million, students and graduates at Canterbury Christ Church University owed a total of £22 million, and those studying at Queen Mary University of London owed nearly £20 million.
More than 11,000 students and graduates of the University of Kent had debts totaling £21 million. Southampton Solent and the University of Wolverhampton also had more than 11,000 students or graduates with unpaid bills.
The numbers are coming freedom of information Offered by Vanquis, a specialist bank based in Bradford.
Vanquis spokesman Tim Schwarz said living costs and expenses were “placing clear pressure” on students’ finances, leading them to seek extra support from their universities.
Schwarz added: “This data highlights a hidden and growing layer of debt beyond standard student and maintenance loans, which currently average over £53,000.
“These additional debts don’t go away when students graduate; they follow young adults as they begin working full-time and can even affect their credit scores if left unpaid.
“Unlike government-backed loans, private loans owed directly to universities can be less flexible, have much shorter repayment periods and have no minimum income threshold.”
A spokesman for Universities UK, which represents university vice-chancellors, said: “Universities offer bursaries, bursaries and hardship support to students struggling financially, but maintenance loans are not keeping pace with rising costs for students.
“We hope the government will commit to maintenance loans that better track living costs, which will work for students and universities in the long term.”
The cost of living is often cited as the leading reason why students drop out or disrupt their education. A. Survey conducted with students at the beginning of this year According to research by the Higher Education Policy Institute, 68 percent are working in paid jobs during the period, an increase of 12 percentage points since 2024.
A spokesman for the Office for Students, which regulates universities in England, said: “Universities are autonomous bodies and will have their own processes for collecting outstanding debts. Outstanding student debts, taken in isolation, do not cause concerns about the financial sustainability of universities but clearly all institutions will want to collect their debts quickly and effectively.
“Universities wishing to collect student and graduate debts must always do so sensitively and proportionately.”
