Gordon Marsden – 2015 Parliamentary Question to the Department for Business, Innovation and Skills

The below Parliamentary question was asked by Gordon Marsden on 2015-11-09.

To ask the Secretary of State for Business, Innovation and Skills, what estimate he has made of the likely impact of freezing the earnings repayment thresholds for 24+ Advanced Learner Loans on the Resource Account and Budgeting charge of outstanding debt which will be written off for 24+ Advanced Learner Loans.

Nick Boles

We estimate the RAB charge under option 1 (freeze threshold for all Plan 2 loans, existing and new borrowers from April 2016 to April 2021) will decrease by about 5 percentage points from the current level of 55% to 50%.

Further information on the impact of freezing the earnings repayment thresholds for 24+ Advanced Learning Loans on future repayments is shown in the Consultation on freezing the student loan repayment thresholds, which has been published here:

https://www.gov.uk/government/consultations/freezing-the-student-loan-repayment-threshold

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