Plan 5 - government statistics now show 65% will repay in full

silvercar

Yesterday the government issued a paper on the new student loans (Plan 5).

One key statistic is that 65% are expected to repay the loan in full.

https://explore-education-statistics.service.gov.uk/find-statistics/student-loan-forecasts-for-england

Ed-1

silvercar said:

Yesterday the government issued a paper on the new student loans (Plan 5).

One key statistic is that 65% are expected to repay the loan in full.

https://explore-education-statistics.service.gov.uk/find-statistics/student-loan-forecasts-for-england

Consequence of a frozen threshold and high earnings inflation.

There's room to raise the threshold. After all, even plan 1 is going to be higher. Wonder if Labour will do it. But Labour also have said that they are interested in making the system more progressive again. It'd be hard to apply real interest to plan 5 given those loans were marketed on the basis that no-one would repay more than they borrowed in real terms over the lifetime of the loans. So wonder if a higher threshold would also not affect plan 5 but a new plan 6?