Britons living in Europe face repayment hikes amid Reeves student loans row

Britons with student loans living in some European countries, including Germany and Belgium, face significantly higher repayment costs starting in April. The UK government is lowering the salary threshold for repayments, in some cases below the local minimum wage, meaning graduates will repay 9% of earnings above the new, lower threshold. For example, in Germany, the threshold is dropping from £28,470 to £23,510 annually. This change, impacting "plan 2" loan holders, has sparked criticism, with some graduates reporting potential doubling of monthly payments. The Department for Education will formally announce the 2026-27 overseas earnings thresholds in April, but has not confirmed how many people will be affected by the changes. The move is expected to intensify existing controversy surrounding student loan repayment burdens.

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