Why Graduates Owe £44k in Student Debt: The Plan 2 Trap

Ten years ago, the first Plan 2 borrowers started repaying their student loans. Since then, graduates who left university with similar debts have found themselves on very different financial paths. The amount you earn affects how much you repay, how much interest builds up, and whether you'll ever clear your balance. BBC Education Correspondent Hazel Shearing investigates why so many graduates are struggling with student debt, with some owing £44,000 or more. The video explores the intricacies of the repayment system, including interest rates and income thresholds, and how they can lead to ballooning balances. Through personal stories and expert analysis, the story sheds light on the long-term consequences of student debt for individuals and the economy. It raises important questions about the sustainability of the current system and the financial burden placed on young people.