Lord Storey – 2016 Parliamentary Question to the Department for Business, Innovation and Skills

The below Parliamentary question was asked by Lord Storey on 2016-06-06.

To ask Her Majesty’s Government what safeguards they have put in place to ensure that, if the student loan book is sold on, students are not faced with increased rates of interest on their student loans.

Baroness Evans of Bowes Park

As stated in the March 2016 Budget, the Government is continuing to prepare for the sale of the pre-2012 income contingent repayment student loan book, with a first sale expected in 2016-17.

Purchasers would have no direct relationship with borrowers, and would have no power to amend the terms of repayment. Government would still finance student loans and continue to collect repayments.