Student debt stands at a record £21.95billion with the cost of studying at university for three years soaring above £33,000 it was announced in figures published by the Department for Innovation, Universities and Skills.Overall students borrowed almost £4billion during the last financial year.

Liberal Democrats universities spokesman Stephen Williams said: "In addition to their loans, students are also racking up thousands of pounds of commercial debt through credit cards and bank overdrafts"

The figures come just days after the Association of Graduate Recruiters warned that this summer's university-leavers face a longer job hunt as companies cut back on recruitment due to the credit crunch.

See the figures published by DIUS