Student Loans

Debate between Viscount Younger of Leckie and Lord Stirrup

Wednesday 13th December 2017 Lords Chamber

[Viscount Younger of Leckie]

That is a question which I am not going to be drawn into answering. However, the interest rates are very much set and as I have said before, they are kept under constant review. A review of higher education funding will be forthcoming.

[Lord Stirrup (CB)]

My Lords, have the Government assessed whether there would be any material difference in the sums repaid to Her Majesty’s Treasury over the decades if the interest rates were set at a less usurious level?

[Viscount Younger of Leckie]

I am sure those figures have been drawn out but I do not have them with me. However, 98% of all borrowers who entered repayment in April 2015 or earlier have fully repaid or are meeting their repayment obligations. That is testament to the fact that the payment-at-source system, working closely with HMRC, is working well.