Question to the Department for Education:

To ask the Secretary of State for Education, what assessment she has made of the potential impact of changes to Part 2 student loan repayments and the freezing of interest thresholds on [a] women and [b] students with disabilities.

We inherited a Plan 2 loan system that was devised and implemented by the previous government, and there have not been retrospective changes to repayments. Students sign the terms and conditions of the student loan plan type available at the time of their studies before any money is paid to them. Student loan terms and conditions make clear that the conditions of the loan may change in line with the regulations that govern the loans.

There has also been no freezing of interest rate threshold. Interest accrues on loan balances at a rate of Retail Price Index (RPI) to RPI+3% until the loan has been repaid in full or is cancelled. Borrowers on Plan 2 terms have interest applied at RPI only if earnings fall below the repayment threshold and interest rates do not impact monthly repayments made by borrowers.

If a borrower becomes disabled and permanently unfit for work, loan balances, including interest, may be written off. For all borrowers, any outstanding loan, including interest accrued, will be cancelled after the loan term ends, and debt is never passed on to family members or descendants.