Students: Loans
Commons · Question 111594 · Tabled 6 Feb 2026 · Department for Education · Official record
Answered 16 Feb 2026
Question
Asked by James McMurdock
To ask the Secretary of State for Education, what assessment her Department has made of the potential impact of the student loan interest rate on costs to the public purse.
Answer
Answered by Josh MacAlister, 16 Feb 2026
Applying interest to the loans ensures that those who benefit financially from higher education (HE) contribute towards the cost of that HE. To ensure the real value of the loans over the repayment term, interest is linked to inflation. Interest increases...