Student Loans 2012

biglugs wrote: »

All they are doing is pushing into the future a massive problem for our children. Within 33 years the student loan book will be at least £120bn, and every year the government will have to write off £20bn or more (depending on how much students actually manage to pay off their loans). It's complete and utter madness.

The government making the decisions will be long gone - a problem for someone else.

Don't forget the Government don't write off anything the tax payers just pick up the tab.

The student loan is effectively tax anyway - just a stonking blunt one that will impact future generations of middle earners massively.

If the tax take isn't enough to fund the system they will just increase for everyone.

If they said that now though it wouldn't go down to well with all the other tax breaks they are reducing and various universal benefits going - next year should be fun as the basic rate tax limiter comes in child benefit goes and public sector pension payments increase.

In reality the level of University education is unaffordable and in reality, isn't needed. The cost needs to be cut either less requirement (may include restricting state funding to core subjects, increasing qualification requirement, declassifying certain semi proffessions) or reducing the cost by shortening the courses.

If graduates can all benefit then all should contribute through a proportional tax of their income that they, may, earn in the future, with their enhanced prospects. Happy for that to be cash neutral and lower rates of tax for the less fortunate or non graduate workers. There is an argument though that non graduates do benefit from the endeavours of some graduates in driving the country forward.

I am also happy for some statistician to sit in a dark room to monitor the necessary tax that should be generated for, X university places at £40/50K per year, from all working graduates past, present and future.

Funny how although Graduates will be picking up the "full" cost there is no counter reduction in general taxation for the rest of us - it is just been taken in addition.