Student Loans Hidden Tax | Leeds News

Leeds News Today | 2 Min News | The Daily News Now! · Jul 7, 2026 · 1m

MPs are sounding the alarm over a hidden student loan “stealth freeze” that’s quietly costing graduates millions more than expected. The repayment threshold, frozen at $29,385 until 2027, means borrowers are paying back loans at higher rates than anticipated — while official materials buried the changes in fine print. The Treasury Committee calls it unjust, noting ministers privately admit the system is broken but won’t fix it. With over 52,000 public responses, campaigners demand a fairer split — 50/50 between graduates and taxpayers — and interest rates tied to a lower inflation measure, to…