Oral Answers to Questions

Mohammad Yasin Excerpts

Monday 2nd March 2026 Commons Chamber

[David Chadwick (Brecon, Radnor and Cwm Tawe) (LD)]

8. What assessment she has made of the effectiveness of the student loan system.

[Mohammad Yasin (Bedford) (Lab)]

21. What steps her Department is taking to improve the student loans system.

[The Parliamentary Under-Secretary of State for Education (Josh MacAlister)]

We will consider ways to make the student loan system fairer, as the Prime Minister said last week. This Government have already reintroduced maintenance grants and raised the repayment threshold to above average graduate salaries, and we are acting across the board on the cost of living by bringing down inflation and tackling transport, energy and rental costs.

--- Later in debate ---

[Josh MacAlister]

We had a Westminster Hall debate about this last week, and it is good to see that the debate continues. We will consider ways to make the system fairer; there are a range of options. The threshold freeze raises £5.9 billion next year, and it is incumbent on any party that is serious about fiscal prudence to set out how it would pay for changes.

[Mohammad Yasin]

Student loan problems long predate plan 2 loans. I welcome the Government’s commitment to making the system fairer after previous Governments ruined the university funding model. It is wrong that generational inequality is baked into the system, which leaves young people with debts for which they can service only the interest. Does the Minister agree that tinkering is not enough, and that fundamental reform is now urgent?

[Josh MacAlister]

I recognise my hon. Friend’s description of recent history and how we have ended up where we are today. We will consider ways to make the system fairer. As I say, there are a range of options, and we need to do it carefully.