Students: Loans
(asked on 14th December 2015) - View Source
Question
To ask the Secretary of State for Business, Innovation and Skills, what estimate his Department has made of the total value of student loans likely to be written off in each of the next 10 years; and if he will make a statement.
More people than ever before are now able to benefit from higher education. The student loan system ensures that access to finance should not be a barrier to participation in higher education.
For students starting their Higher Education course prior to the 2020-21 academic year the nominal value of student loans that are written off in each of the next 10 years is forecast as follows:
Financial year | 2015-16 | 2016-17 | 2017-18 | 2018-19 | 2019-20 | 2020-21 | 2021-22 | 2022-23 | 2023-24 | 2024-25 |
Write-off amount (nominal; £m) | 220 | 140 | 190 | 230 | 310 | 350 | 390 | 450 | 520 | 520 |
Source: BIS Student Loan Repayment Model. Figures are rounded to the nearest £10m.
This table includes loans written-off due to any of the following circumstances: a) if the loan borrower started their Higher Education course prior to 2006-07 academic year and has reached the age of 65; b) the borrower has died; or c) the borrower becomes disabled