Plan 2 Student Loans: Repayment Terms

Lord Tarassenko Excerpts

Tuesday 17th March 2026 Lords Chamber

[Baroness Blake of Leeds (Lab)]

My noble friend is absolutely right. The student loan situation is one we inherited from the Opposition. I think they have questions to answer about the approach they took. We will not take any lessons on how to do this. We are determined to move forward and do it properly on behalf of the young people of this country.

[Lord Tarassenko (CB)]

My Lords, the proportion of home students in full-time postgraduate study has fallen from 46% to just 29% in five years. At the start of a PhD, a home student with a typical undergraduate loan will have a debt of around £55,000. At the end of the PhD, that debt will be somewhere between £65,000 and £70,000. Most PhD students from disadvantaged backgrounds take out a doctoral loan, which also accrues interest during the PhD. Will the Government consider freezing both the undergraduate and doctoral loans at the start of a home student’s PhD so that these loans do not accrue interest during the PhD?