MPs issue warning amid fears of interest rate rise on student loans

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MPs issue warning amid fears of interest rate rise on student loans
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Senior MPs have warned young people may never go to university due to the rise in interest rates

inflation rates, the maximum interest rate on loans – paid by those earning £49,130 or more – will rise from current rates of 4.5% to an “eye-watering” 12% for half a year.They added that this means that a high-earning recent graduate with a typical loan balance of £50,000 would incur £3,000 in interest over six months, a higher amount than a graduate earning three times the median salary for recent graduates would usually pay.

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