Student loan thresholds for 2022-23 announced

The 2022-23 thresholds for plans 2 and 3 student loans have been frozen at their 2021-22 rates of £27 295 a year and £21 000 a year respectively announced Michelle Donelan minister of state for higher and further education.

Calling this a tax rise by stealth on graduates with middling earnings Ben Waltmann senior research economist at the Institute for Fiscal Studies said: ‘Graduates with the lowest earnings do not reach the repayment threshold for student loans so they will be unaffected by the freeze. Those with the highest earnings will pay off their loans either way so the freeze just means that they will repay their loans quicker. For a graduate earning £30 000 this announcement means that they will pay £113 more towards their student loan in the next tax year than the government had previously...