Tories hate the young - No 10 plans to lower salary level at which graduates start repaying loans

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SirGalahad

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https://www.ft.com/content/f77fe7ee-6165-427a-8754-e90d22d5689f

The government is planning to cut the earnings threshold at which graduates begin repaying student loans in a bid to save the Treasury money and push more young people towards cheaper vocational education. Chancellor Rishi Sunak wants to overhaul student financing in his spending review ahead of next month’s Budget, reflecting Treasury concerns that the taxpayer is footing too great a burden of funding university courses. Currently graduates start to pay back student loans when their salary hits £27,295, but ministers are looking to reduce that figure. “That’s the plan,” said one minister. The Augar review of post-18 education in 2019 recommended the threshold be lowered to £23,000, median non-graduate earnings at the time, and the Higher Education Policy Institute think-tank this year modelled a cut to less than £20,000.
 
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I thought this choice comment deserved a viewing.

I have to say, the last 18-20 months have been truly ridiculous for a young person and this really is the icing on the cake. I left university with around £48,000 worth of debt. I looked at my student loan summary and despite having worked (and I am fortunate enough to earn a good salary) for the last 5-6 years my debt stands at £36,000. Interest is at over 6% and compounds monthly. The Bank of England base rate is basically zero. It’s a total and utter farce. Nearing on outright fraud. Interest began when I was studying. Even more laughably, students who went to university paid for by mommy and daddy earn an extra £700 per month more than me because they have no student loan. Thanks Boris. Oh, and that £700 is only reducing my debt pile by about £420 a month due to the interest rate being added on top. The whole thing is a farce. A Ponzi scheme is plain view.

The UK has nothing to offer a young person anymore and I implore anyone with the chance of leaving to do so. The marginal tax rate on your earnings is astounding. What we get in return is shocking. How does one live in London on a “normal salary.” Your effective tax rate is huge, then what you do get goes on rent for a box room - sharing with others. Then look at inflation for the cost of living. Then look at the cost of housing. The UK is a total and utter Ponzi scheme. I assume the only reason there are not protests in the street each weekend is that not enough people have caught on yet. Only going to get worse too. How are kids going to be able to buy a house - ever. How will we ever pay off the debt. Ever. We won’t. It’s tied to the RPI too so just want till inflation is truly reflected in the figures. Why doesn’t Rishi use the magic money tree just to pay it off like test and trace????? 37bn would help here. Total and utter shambles. Tragic.

This is the US model, their health system is coming to these shores soon. Well done.
 
SirGalahad said:
https://www.ft.com/content/f77fe7ee-6165-427a-8754-e90d22d5689f

The government is planning to cut the earnings threshold at which graduates begin repaying student loans in a bid to save the Treasury money and push more young people towards cheaper vocational education. Chancellor Rishi Sunak wants to overhaul student financing in his spending review ahead of next month’s Budget, reflecting Treasury concerns that the taxpayer is footing too great a burden of funding university courses. Currently graduates start to pay back student loans when their salary hits £27,295, but ministers are looking to reduce that figure. “That’s the plan,” said one minister. The Augar review of post-18 education in 2019 recommended the threshold be lowered to £23,000, median non-graduate earnings at the time, and the Higher Education Policy Institute think-tank this year modelled a cut to less than £20,000.
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Have to agree disgusting really. Nearly as bad as the numnutz government that introduced the fees in the first place!
 
mitch66 said:
Have to agree disgusting really. Nearly as bad as the numnutz government that introduced the fees in the first place!
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The numnutz that increased the fees and the interest rates and then lowered the threshold.

Your kids go university?

Why didn't the Tories end it then?
 
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Maybe it's their way in to steering the young substitute non essential university courses and take up a career in Haulage and other important industries.
 
Bodd said:
Maybe it's their way in to steering the young substitute non essential university courses and take up a career in Haulage and other important industries.
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What is a non essential course?

The purpose of Unis in the past used to be an environment where students could explore a subject, expand their knowledge.

Steve Jobs dropped out of his course and attended a course on calligraphy which he said he gained so much from and was the inspiration for so much of Apple design philosophy.
 
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Tories hate the young - No 10 plans to lower salary level at which graduates start repaying loans

Mature students don't need to worry then..............yippee!! ;)
 
Doug99 said:
Tories hate the young - No 10 plans to lower salary level at which graduates start repaying loans

Mature students don't need to worry then..............yippee!! ;)
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Unless they have student debts. :eek:
 
SirGalahad said:
What is a non essential course?

The purpose of Unis in the past used to be an environment where students could explore a subject, expand their knowledge.

Steve Jobs dropped out of his course and attended a course on calligraphy which he said he gained so much from and was the inspiration for so much of Apple design philosophy.
Click to expand...

I think he may have learned the art of copying from his calligraphy course. Xerox Star vs Apple Lisa.

University education if funded by the state should be to the benefit of the state - e.g. more doctors, engineers and taxes. If we fund people to do pointless or low value degrees then why should a hard working plumber pay? The current model means those with high value degrees pay and those with low value degrees don't.

I interviewed a bunch of would be graduate hires last year and one told me all he ever wanted to do was work in [my profession] and then I asked why he was studying politics and art then? He looked at me like I'd just told him his leg needed to be amputated.
 
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SirGalahad said:
What is a non essential course?

The purpose of Unis in the past used to be an environment where students could explore a subject, expand their knowledge.

Steve Jobs dropped out of his course and attended a course on calligraphy which he said he gained so much from and was the inspiration for so much of Apple design philosophy.
Click to expand...


My mate did an art degree and is now a plumber..
 
motorbiking said:
I think he may have learned the art of copying from his calligraphy course. Xerox Star vs Apple Lisa.

University education if funded by the state should be to the benefit of the state - e.g. more doctors, engineers and taxes. If we fund people to do pointless or low value degrees then why should a hard working plumber pay? The current model means those with high value degrees pay and those with low value degrees don't.

I interviewed a bunch of would be graduate hires last year and one told me all he ever wanted to do was work in [my profession] and then I asked why he was studying politics and art then? He looked at me like I'd just told him his leg needed to be amputated.
Click to expand...


Spot on
 
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