Remove all interest from Plan 2 student loans and recalculate balances
Remove all interest from Plan 2 student loans and recalculate outstanding balances as if no interest had been applied since the loans were issued.
Signatures
50
signatures
Government response threshold (10,000) · 50/10,000
Debate threshold (100,000) · 50/100,000
- 19 MAR 2026Petition opened for signaturesCreated by Thomas Swift
Background
Plan 2 student loan borrowers are charged high interest while studying and after graduation, causing balances to grow even when repayments are made. Many graduates will repay far more than they borrowed or never clear their loan. In our view, borrowers had no choice over being placed on Plan 2 or its terms. We think removing interest and recalculating balances would restore fairness, improve trust in the student finance system, and ensure repayments reflect the original cost of study.