CSLM11013 | FAQs: borrowers questions and answers: can employer charge for making deductions?
From HM Revenue & Customs · Collection of Student Loans Manual
Suggested answer
No. The legislation does not provide for a charge to be made by the employer on an employee for making the deductions.
If your employer disputes this please ask them to contact HMRC.
Note: The employer is allowed to make a charge for certain other deductions, for example, some Court Orders. This does not extend to Student Loans and or Postgraduate Loan.