The United Kingdom is a great higher study destination for many EU students, but also a pretty expensive one. But there are several financial assistance to help them cover their living expenses, and a Maintenance loan is one of them. It is a type of student loan for EU students studying in the UK and is provided by Student Finance UK. Here’s what you should know about Maintenance loan for EU students.
Overview of EU Students in the UK
After Britain’s withdrawal from the European Union, the number of EU students has drastically declined in the UK. Before Brexit, 152,000 EU students were studying in the UK in 2019/20. Only a year later, the number came down to 120,145 in 2021/22. The same number of EU students are currently enrolled in undergraduate, postgraduate, and other courses in the UK.
It is a 21.4% decrease from the previous year. A lot of benefits are no longer available to EU students in the UK after Brexit, making it one of the main reasons why the number has declined over the year.
Studying in the UK undoubtedly has many benefits for EU students, even after Brexit. These benefits include:
- Higher education at world-renowned universities.
- Chance to become a part of a diverse, multicultural society.
- Access to high-quality education.
- A lot of scholarship and grant options.
Although EU students enjoy several benefits in UK universities, there are still several challenges. Generally, EU students face the following challenges while studying in the UK:
- Tuition fee costs of UK universities.
- Living costs in the UK
- Uncertainties around UK’s immigration rules for EU citizens.
EU And Home Student Tuition Fees
You will be happy to learn that EU and home student tuition fees are £9250 or lower. Meaning an EU and UK student has to pay the same amount of tuition fees in UK universities. This policy is there to ease the financial burden on your shoulder as an EU student.
It’s crucial for you to understand the amount of tuition fee you will have to pay each year in a UK university. This will help you calculate your maintenance loan amount and come up with the right figure when you apply for it.
Introduction To Maintenance Loan
A maintenance loan is a type of loan given out by Student Finance UK to EU students. This loan aims to offer additional support to EU students studying in a UK university to help them partially cover their living expenses.
The amount of this loan depends on factors like students’ household income, their place of living, and whether they are full-timers or part-timers. A maintenance loan does not cover tuition fee costs or the entire living expenses. It works as a breathing space for students.
There are several differences between tuition fees and maintenance loans. Government and private lenders provide tuition fee loans that are directly paid to the university.
On the other hand, Maintenance loans are provided by Student Finance UK to EU students studying in the United Kingdom. The amount of maintenance loan depends on students’ household income and differs from case to case. Students from higher-income households will get fewer loans than those from lower-income households.
Maintenance loans are very crucial for EU students in the UK. The tuition fees of UK universities have already increased because of Brexit. A maintenance loan can help student partially offset their living expenses. It makes living in the UK easier for many EU students, especially those who are in their undergraduate.
Eligibility Criteria For EU Students
Are EU students eligible for maintenance loans? There are several eligibility criteria to become eligible. It is available for two types of European students: EU students and European Economic Area Migrant Workers.
Here are the eligibility criteria for EU students:
- You have to be an EU citizen.
- You have lived in the UK for 5 years before starting your course.
- You are studying in a course eligible for Student Finance.
- You must have settled status.
Residency Requirements for Maintenance Loan
Apart from the general requirements, there are a couple of residency requirements for EU students to be eligible for maintenance loans. They are as follows:
- You must live in the United Kingdom when applying for a maintenance loan.
- You must live in the UK for 5 continuous years before starting your course.
Changes in Eligibility After Brexit
Brexit has brought many changes in rules and regulations of higher study in the UK for EU students. Several rules of maintenance loans have also been changed after Brexit. They are:
- Only EU students with settled or pre-settled status are eligible for a maintenance loan.
- Settled and pre-settled EU students now get a lower maintenance loan than UK students.
Application Process For Maintenance Loan
How to apply for maintenance loan EU students must know the process thoroughly. Applying for a maintenance loan is an easy and straightforward process for EU students. You will have to apply for it through the Student Finance UK website. The application process requires basic information like your name, contact details, and date of birth.
A maintenance loan application process starts with you setting up an account with Student Finance. After registration, you will get a Customer Reference Number. Then you must fill out the application form and submit it with your proof of identity. You’ll get a confirmation letter within a minimum of 6 weeks.
Required Documentation and Information
Here are the documents and information you must submit while applying for a maintenance loan in the UK:
- Proof of your identity, such as your passport.
- National Insurance Number
- Birth Certificate
- Your Student Loan Agreement
- Proof of Your Living Expenses
Deadlines and Timelines for Applications
You should apply for a maintenance loan as early as possible. Here are the timelines of your application:
| Course Start Date | Apply By |
| Between 1 August and 31 December | 31 May, after starting the course |
| Between 1 January and 31 March | 30 September, after starting the course |
| Between 1 April and 30 June | 31 December, after starting the course |
| Between 1 July and 31 July | 31 March, after starting the course |
Loan Amount And Repayment
The amount of maintenance loan for EU students in the UK depends on a number of factors, such as the household income of students, where they are living, and the courses they have undertaken.
However, students generally receive a minimum of GBP 3,893 per year up to a maximum of GBP 11,200 per year. A maintenance loan amount also varies on the following factors:
- Course Start Date
- Location of the University
- Home Location
- Living Condition
EU students must start loan repayment when earning the minimum threshold of GBP 26,500 per annum. From this point, they will have to pay 9% of their annual income as maintenance loan repayment.
Alternative Funding Options For EU Students
Scholarships and Grants for EU Students
EU students have access to many scholarships and grants in the UK to cover their tuition fees and living expenses. Most of these scholarships are awarded based on merit and need.
Some of the most popular scholarships for EU students are:
Part-time Work Opportunities
EU students can access part-time work opportunities while studying at universities or colleges in the UK. They can work up to 20 hours per week during a semester and work full-time during semester breaks. It’s a good supplement to your income and helps you cover your living expenses.
There are many popular websites to find part-time jobs. Students can sign up to Indeed, StudentJob, or Gumtree to find a suitable job.
External Financial Assistance Options
A lot of organizations in the UK provide external financial assistance to EU students. Some of the well-known organizations are:
- The British Council
- The European Students’ Union
- The National Union of Students
- The Erasmus+ Program
Challenges and Considerations
Potential Challenges Faced By EU Students in Obtaining Maintenance Loans
EU students now face several challenges in obtaining a maintenance loan. A lot of rules and eligibility criteria have been changed, and maintenance loan is no longer available to EU students solely because of low household income.
The repayment terms of maintenance loans are also changed. Now, EU students can pay their loans for a maximum of 40 years instead of 30 years.
Impact of Brexit on Funding Options for EU Students
Brexit has heavily affected the student maintenance loan for EU students in the UK. A lot of rules and regulations have been changed because of it. Plus, EU students now have to pay higher tuition fees. Most importantly, private lenders in the UK are more inclined to home students when it comes to providing student loans.
Importance of Financial Planning and Budgeting for EU Students
Since obtaining a UK degree has become much more difficult for EU students, they should be more careful about financial planning and budgeting. Because of the increasing tuition fees and changes in maintenance loans, students must be aware of their costs and should cut down on unnecessary costs.
Support And Resources
Student Support Services at Universities
Almost every university in the UK has student support services. EU students can take help from support services on many issues, such as financial assistance, accommodation, and immigration. They provide counseling and information to help students make the right decision.
Financial Guidance and Resources for EU Students
A lot of financial guidance is available for EU students in the UK. Students can take help from these guides to plan their entire higher study journey in the UK. Plenty of financial resources, such as grants and loans, are available to EU students.
Government and Institutional Initiatives for EU Students
The UK government and several other institutions also provide support to EU students. They get financial assistance, accommodation help, and other support from the government and institutions.
Conclusion
In summary, navigating the complexities of student finances can be challenging, but understanding the intricacies of the Maintenance Loan for EU Students can alleviate some of that stress. This loan not only bridges the financial gap for many but also enhances the diverse, vibrant fabric of academic communities in the UK. By empowering yourself with knowledge, you’re taking the first step towards a more confident and informed journey through your academic life. Keep exploring, keep questioning, and remember – you’re not alone on this journey.
