Question

To ask the Secretary of State for Business, Innovation and Skills, what the evidential basis is for the proposition that freezing the repayment threshold for plan 2 student loans is likely to result in student loans being repaid to a greater extent than under the current terms.

Estimates of the impact of freezing the repayment thresholds for borrowers are illustrated in the consultation document, which has been published here:

https://www.gov.uk/government/consultations/freezing-the-student-loan-repayment-threshold

These are based on analysis using the Department’s Student Loan Repayment Model: further details on the model are available at the Department’s website https://www.gov.uk/government/publications/simplified-student-loan-repayment-model