Can you beat the student loan system by investing the money instead? 

Cambridge University students in their gowns on Graduation day at Corpus Christi College, England
The maximum amount most students could invest would be £26,588 but is it worth it? Credit: P A Thompson 

Tuition fees as high as £9,250 a year most often grab the headlines, but it is living costs where there is more room for manoeuver and a chance to effectively live for free.

Most students starting in September can borrow up to £8,700 a year, rising to £8,944 next April. For those studying in London it is higher.

Unlike tuition fees, which are only released direct to the university, the maintenance loan is paid three times a year, at the start of each term, into the student’s bank account.

But what if you invested that money rather than spent it? 

You would need some other way to pay your living costs during your time at university, either by working part-time or having your parents pay. At the...

To continue reading this article

Start your free trial of Premium

  • Access all Premium articles 
  • Subscriber-only events 
  • Cancel any time

Free for 30 days

then only £2 per week

Access one Premium article per week

We’re glad you’re enjoying The Telegraph
Register or subscribe to continue reading
Already a subscriber?
  • One free Premium article per week
  • Newsletters and daily briefings
30 days free, then £2 per week
  • Unlimited access to Premium articles
  • Subscriber-only newsletters
  • Exclusive subscriber events and rewards
  • The daily newspaper on your smartphone or tablet
Start free trial