Question to the Department for Education:

To ask the Secretary of State for Education, what assessment she has made of the adequacy of the interest charged on Plan 2 student loans for meeting the Government’s cost of (a) borrowing to finance those loans and (b) estimated write-offs.

The estimated write offs are reflected in the Resource and Accounting Budget (RAB) charge, the government subsidy anticipated on student loans issued in any particular financial year. The RAB charge is forecast at 32% of total full-time plan 2 loans issued in 2024/25.