Review of the student loan sale programme
As part of Budget 2020, the government conducted an internal review of the student loan sale programme, in consultation with the Department for Education and UK Government Investments.
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This review sets out the government’s analysis and confirms that the 2 past sales achieved value for money, raising £3.6 billion and reducing public sector net debt.
However, following the ONS’ recent change in the accounting treatment of student loans, sales would now have new impacts on borrowing and net investment. Due to the government’s progress in fixing the public finances, debt is now expected to be broadly stable over the medium term. As such, the review announces that the government will not make further sales of student loans. Students are unaffected by this decision.