The level of total student loan debt in the UK has risen to over £100 billion recently. The outstanding debt has soared up by 16.6% by the end of March 2017, as shown in figures released by the Student Loans Company. Students in England accounted for nearly 90% of that debt. As we have mentioned previously, one of the reasons some people look at pension loans is to help their children get through further education without racking up massive student loan debt.
The Guardian reports –
“The rise in student debt has been driven partly by rules introduced in 2012, allowing universities in England to charge up to £9,000 a year in tuition fees. In the year ending 31 March 2012, student debt was less than half the current level, at £45.9bn… Jeremy Corbyn made younger voters a key focus of Labour’s election campaign, promising to scrap tuition fees for new university students. A strong turnout among 18- to 24-year-olds at last week’s election helped the party to win 262 seats, an increase of 30… Sebastian Burnside, a senior economist at NatWest, said student debt was rising at a faster pace than any other form of debt, and eclipsed credit card debt of £68bn. “These latest figures show student debt is becoming of greater priority with every passing year. Student debt is the fastest growing type of borrowing and is rapidly becoming economically significant.” Burnside predicted that over the longer term, student loan debt was likely to double to £200bn in six years.”