Petition · past parliament
Lower the interest rate on Student Loans to RPI -2% and stop compound interest.
Rejected
18 signatures
What the petition asks
We require the government to reduce the interest rate on student loans to RPI -2% and to stop the compound interest. They will be paying for the cost of Covid, surely that is enough? An additional 9% to their tax will be punitive on top of what they will be expected to pay off due to Covid debt.
The 5.6% compound interest rate on student loans is prohibitive & not in line with interest rates. It will add 9% on to the tax rate of those earning over the threshold. This is punitive to our future generations, who will be paying off the debt accumulated from Covid and so must be lowered. It’s time to help this generation, who have been shafted over recent years. Time to stop this assault on their future, prevent a brain drain and inspire our young to do great things with their education.
Why it was rejected
It was not clear what the petition asked the UK Government or Parliament to do.
Petitions need to call on the Government or Parliament to take a specific action.
We understand that you are concerned about the amount people with student loans have to repay, but we're not sure exactly what you'd like the Government or Parliament to do.
Your petition calls for the interest rate on student loans to be reduced, but your petition appears to be concerned with the rate at which people repay their student loans, which is separate to the interest charged on outstanding loans.
We have published the following petitions, which you might like to sign:
Review and reform tuition fees and student loan interest and repayments: Review and reform tuition fees and student loan interest and repayments
Increase the income threshold for people repaying student loans under Plan 1: Increase the income threshold for people repaying student loans under Plan 1
Exempt Uni students affected by Covid from being charged interest on loans: Exempt Uni students affected by Covid from being charged interest on loans.
Reduce interest on ALL extant student loans to zero: Reduce interest on ALL extant student loans to zero
Student loan interest rates cut to 1% above base & have an interest rate holiday: Student loan interest rates cut to 1% above base & have an interest rate holiday
Allow student loan holders to suspend their payments for up to 12 months: Allow student loan holders to suspend their payments for up to 12 months.
You could start a new petition explaining clearly what you would like the Government or Parliament to do.
We understand that you are concerned about the amount people with student loans have to repay, but we're not sure exactly what you'd like the Government or Parliament to do.
Your petition calls for the interest rate on student loans to be reduced, but your petition appears to be concerned with the rate at which people repay their student loans, which is separate to the interest charged on outstanding loans.
We have published the following petitions, which you might like to sign:
Review and reform tuition fees and student loan interest and repayments: Review and reform tuition fees and student loan interest and repayments
Increase the income threshold for people repaying student loans under Plan 1: Increase the income threshold for people repaying student loans under Plan 1
Exempt Uni students affected by Covid from being charged interest on loans: Exempt Uni students affected by Covid from being charged interest on loans.
Reduce interest on ALL extant student loans to zero: Reduce interest on ALL extant student loans to zero
Student loan interest rates cut to 1% above base & have an interest rate holiday: Student loan interest rates cut to 1% above base & have an interest rate holiday
Allow student loan holders to suspend their payments for up to 12 months: Allow student loan holders to suspend their payments for up to 12 months.
You could start a new petition explaining clearly what you would like the Government or Parliament to do.
Timeline
| 8 Jan 2021 | Petition opened for signatures |
| 15 Jan 2021 | Rejected by the Petitions Committee |
Key facts
Signatures
18
Status
Rejected
Rejected
15 Jan 2021
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Source: the official petition page. Last checked 15 Jul 2026.