Student loan repayment rates an 'unsustainable burden', chancellor told
Over 120 UK MPs and peers have signed an open letter calling for an urgent review of the student loan repayment system. The group argues that current repayment thresholds and high interest rates create an unsustainable financial burden for middle-income graduates.
Why it matters
This highlights growing political pressure to reform higher education funding models in the UK to address cost-of-living concerns for young professionals.
Image source, Getty Images By Hazel Shearing , Education correspondent and Rahib Khan , Education reporter Published 35 minutes ago More than 120 MPs and peers have asked the chancellor to carry out an "urgent review" of the student loan repayment system.
An open letter coordinated by the campaign group Rethink Repayment says the current set-up places an "unsustainable burden on the next generation of workers".
Among the cross-party signatories are MPs with their own Plan 2 student loans, which have come under particular scrutiny this year.
Last week, Education Secretary Lucy Powell said the interest rate on those loans was "egregious" and the issue was at the top of her in-tray.
Current and former students have different student loan plans depending on where they live in the UK and when they went to university.
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