Wednesday 12-04-2017 - 16:20
NUS is concerned that students who attended university after 2012 in England and Wales will see their student loan debt rise as interest rates soar generated by the UK’s move to leave the European Union. This particular cohort of students currently pay up to £9,250 per year for tuition alone and have seen a number of changes to higher education funding since tuition fees were raised to £9,000 per year.
NUS President, Malia Bouattia, said:
“Students will find little comfort in Tuesday’s revelation that rocketing inflation will hit the interest they must pay on their student loans, particularly when for some the total amount of debt now exceeds £50,000. Graduates wanting to access the housing market, save and start pensions after university as already struggling to do so and this step will only disadvantage them further.”
NUS Vice President (Welfare), Shelly Asquith, said:
“The Government has already taken the extraordinary decision to change student loan repayment terms retrospectively for students, while also attempting to sell off the loan book to the highest bidder. Student loan interest rate rises are unwelcome at any time, and this is another nail in the coffin for a higher education system that is accessible for all.
Our student finance is broken. We have a system that piles more debt onto the poorest students, maintenance grants have been replaced with loans for those who need financial support the most, student debt is being sold off to private interests for knock-down prices, and loan terms and conditions can change on a Government whim.”