Stories

Tue, 02 Jun 2026

Tue, 02 Jun 2026 Third of people say uni degree not worth it, as student loan inquiry begins

MPs will hear the concerns of graduates about the size of their student debts, and the interest rates.

* An inquiry by MPs into the student loan system in England has begun, with evidence from student organisations and experts.
* The National Union of Students (NUS) is calling for a review of graduate earnings repayment threshold and interest rates.
* New research suggests that 34% of people now think a university degree isn't worth the time and money, up from 14% in 2005.
* Graduates who took out Plan 2 loans between 2012 and 2023 are concerned about their large debts and high interest rates.
* One graduate, Gemma, said she felt like she was "constantly chasing a debt that gets bigger over time" and that her loan had delayed her decision to start a family.
* Over 50,000 people have submitted written evidence to MPs, with many graduates saying they did not understand the terms of their student loans when they signed up.
* The NUS is asking the government to rethink its decision to freeze the repayment threshold at £29,385 from April 2027 for three years.
* Experts argue that there needs to be a "course correction" to avoid a generation being unable to buy a home or start a family.
* The government has defended its decision to freeze the repayment threshold and cap interest rates on Plan 2 loans.