We the undersigned petition the Prime Minister to pressure the treasury to honour its previous promise that student loans taken out after '98 will follow inflation. More details
Submitted by Miss Olivia Vanbergen – Deadline to sign up by: 19 May 2010 – Signatures: 18,817
The treasury has yesterday announced that as of September forward, student loan repayment interest will be set at 0%. This sounds like a good thing at 1st, but the current financial climate means it IS NOT.
Deflation is currently(according to the year's RPI, at -0.4%). Therefore buying power of a fixed amount has reduced. So after September, students will repay an amount that is effectively worth more than their previous repayment commitment, since the figure they'll be repaying after September will have a greater purchasing power than the figure before September.
The more deflation worsens, the more loan repayments will be effectively enhanced.
The government previously promised that this would not occur, and buying power of a completely repaid loan would match that of the original loan at the time it was taken out.
They have now reneged on this promise.
Please sign this petition to urge the government to honour their original promise and prevent this happening.
Many thanks and kind regards.
Because there are so many signatories, only the most recent 500 are shown on this page.
Because there are so many signatories, only the most recent 500 are shown on this page.