Overview
- The Treasury Select Committee published survey findings on Wednesday showing more than 52,000 people responded to its call for evidence, one of the largest reply rates for a parliamentary inquiry.
- Of the 49,357 respondents who had taken loans, 28,275 said they did not understand the repayment terms when they signed up and 45,843 judged interest and repayment rules to be unreasonable.
- Respondents and campaigners highlighted technical drivers of rising balances, notably interest set at the retail price index plus up to three percentage points and a repayment threshold that has been frozen, which respondents say prevents balances falling.
- Graduates reported practical harms from the system, saying repayments have reduced mortgage eligibility, altered career choices and led some to refuse promotions or overtime, while more than 25,000 said they would not take a loan again.
- Dame Meg Hillier said the committee will spend weeks examining options before making recommendations, and the Department for Education defended recent steps such as raising the repayment threshold and capping maximum interest rates.