{"id":616475,"date":"2026-06-02T05:09:07","date_gmt":"2026-06-02T05:09:07","guid":{"rendered":"https:\/\/www.newsbeep.com\/uk\/616475\/"},"modified":"2026-06-02T05:09:07","modified_gmt":"2026-06-02T05:09:07","slug":"student-loan-inquiry-begins-as-a-third-of-people-say-university-degree-not-worth-it","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/uk\/616475\/","title":{"rendered":"Student loan inquiry begins as a third of people say university degree not worth it"},"content":{"rendered":"<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">The British Social Attitudes survey has tracked public opinion over key issues, including university education, for decades. <\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">Their research, published on Tuesday, found that 34% of people in 2025 agreed  a university education &#8220;just isn&#8217;t worth the amount of time and money&#8221; &#8211; up from 14% in 2005.  <\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">This is the highest level of concern about the value of a degree for 20 years. <\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">At the same time, there has been a decline in those who believe going to university leaves graduates &#8220;a lot better off&#8221; in the long run, down from 50% in 2005 to 36% in 2025. <\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">Against that background of wider public unease, the Treasury Select Committee of MPs will hear the concerns  of graduates about the size of their debts, and the interest rates. <\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">Among those most worried are graduates who took out what are called Plan 2 loans between 2012 and 2023. <\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">Gemma, who now works for a tech company, is one of those graduates who contacted the BBC through Your Voice to share her frustration. <\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">Just after she graduated in 2016, her debt was \u00a334,105 &#8211; but her latest balance statement shows it&#8217;s now \u00a341,908 because the interest accumulating is outstripping her repayments.  <\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">Gemma said her degree was worth it, taking her from a low-income background into a job where she now earns just under \u00a350,000 a year, but living with the loan is &#8220;draining&#8221;.<\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">&#8220;It feels like I&#8217;m constantly chasing a debt that gets bigger over time; it feels like climbing a mountain.&#8221; <\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">Now 33, she said student loans have contributed to a decision to delay starting a family with her partner, because even though she wouldn&#8217;t repay during maternity leave, the interest would still accrue. <\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">At the end of the 30 years any unpaid loan will be cleared, effectively by the taxpayer. <\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">The strength of feeling from graduates like Gemma is clear. More than <a href=\"https:\/\/www.bbc.co.uk\/news\/articles\/cn9pejwj0xxo\" class=\"ssrcss-1e0jzsh-InlineLink e1kn3p7n0\" rel=\"nofollow noopener\" target=\"_blank\">50,000 people have submitted written evidence<\/a> to MPs, with many graduates saying they did not understand the terms of their student loans when they signed up. <\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">Graduates in England repay 9% of whatever they earn over a threshold, which is due to be frozen at \u00a329,385 from April 2027 for three years &#8211; with the result that more graduates will start repaying earlier.<\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">The NUS is asking the government to rethink that decision.<\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">The graduate campaign group Rethink Repayment said the repayment threshold freeze was against the original terms of the student loans. <\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">Alex Stanley, from the NUS, said there also needed to be a longer term &#8220;course correction&#8221; to avoid a generation not being able to buy a home or start a family. <\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">There is no getting away from the fact that the labour market is challenging, said Vivienne Stern MBE, Chief Executive of Universities UK, but that data shows graduates &#8220;are more likely to have a job, earn more and have better health&#8221;.<\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">She added: &#8220;A university education doesn&#8217;t just benefit the individual. If we want our country to grow, we need more graduates entering the labour market.&#8221;<\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">The government has defended the decision to freeze the repayment threshold and has capped the interest rate on Plan 2 loans at 6%. <\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">In a statement it said: &#8220;We recognise that some graduates have concerns about the cost of student loan repayments and understand why this is an important issue.&#8221; <\/p>\n<p class=\"ssrcss-1q0x1qg-Paragraph e1jhz7w10\">It added it had raised the graduate repayment threshold since coming into government for the first time since 2021, and brought back some targeted maintenance loans. <\/p>\n","protected":false},"excerpt":{"rendered":"The British Social Attitudes survey has tracked public opinion over key issues, including university education, for decades. 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