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Over 120 MPs and peers call for an urgent review of the student loan repayment system
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Left Foot Forward: Leading the UK's progressive debate
More than 120 MPs and peers have called for the government to conduct an urgent review of the system under which student loans are repaid.
The letter read: “We write to you as a cross-party group of 121 MPs and peers to highlight a growing concern across the country: the compounding financial pressure on recent graduates and early career professionals due to the current structure of student loan repayments.
“For many middle-income graduates, the combination of income tax, National Insurance and student loan repayments means they see less than half of any hard-earned pay rise.
Last year, the then chancellor Rachael Reeves decided to freeze the Plan 2 student loan repayment threshold between 2027 and 2030.
This means more people will be brought into having to make repayments on their student loans as wages increase.