The effect of postgraduate loans

Key findings

In 2016-17 postgraduate masters’ loans of up to £10,000 were introduced to assist students with tuition fees and living costs.

In 2016-17 there was an overall increase in entrant numbers but only for students to eligible courses. The number for non-eligible courses decreased. Single-year transition rates straight from undergraduate degree to postgraduate study saw a similar increase in students to eligible courses.

Age: The largest increase in entrant numbers on eligible courses and increase in transition rates have been for students aged 25 and under. Overall, the age profile of entrants to postgraduate study has changed slightly, with a larger proportion of younger students than in previous years.

Sex: Male and female entrant numbers on eligible courses both show an increase. Similarly, there has been no difference between the sexes in transition rates or loan take-up.

Ethnicity: There has been a larger increase in entrant numbers on eligible courses for black students than for white students, which has resulted in a change in the ethnic composition of the postgraduate entrant population. The proportion of postgraduate entrants on eligible courses who are black has increased from 8 per cent in 2015-16 to 11 per cent in 2016-17.

Disability: Disabled students comprised 12 per cent of the entrant population on eligible courses in 2015-16. However this has increased to 15 per cent in 2016-17.

Educational disadvantage: The proportional increase in entrant numbers on eligible courses, and increases in one-year transition rates, has been greatest for students from the lowest-participation areas. This means that those from the lowest undergraduate participation areas are now more likely to enter postgraduate study immediately after undergraduate study than those from the highest participation areas.

The proportion of students who were eligible for a loan and took one out was greatest among:

• students aged 25 and under on entry
• black students
• students who declared a disability
• students from lowest-participation areas.

For all student groups, the proportion of graduates able to realise their intention to continue postgraduate studies has increased. However, the increase was greatest among:

• students aged 26 and over
• black students
• students who declared a disability
• students from lowest-participation areas.

Technical document