Petition · Department for Education

Scrap RPI +3% interest on plan 2 & postgrad student loans & charge RPI only

Open for signatures 26 signatures

What the petition asks

I am concerned about the interest rate that is charged on Plan 2 and Postgraduate student loans. These are much higher than other student loan plans. We urge the Government to only charge interest at RPI on plan 2 and postgraduate student loan repayments
The current rate of interest on these loans is often higher than most mortgages and young people are unlikely to be able to pay both. I am concerned motivation to earn may be lost as some mid-high earners may end up paying a high marginal tax rate plus NI until they retire. I am also concerned that women may be adversely affected as interest still accrues while on parental leave, which could potentially be contributing to the already low birth rate.

Timeline

7 May 2026 Petition opened for signatures

Key facts

Signatures 26
Status Open for signatures
Department Department for Education
Opened 7 May 2026

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Source: the official petition page. Last checked 26 Jul 2026.