Students are right to question loans, says UEA head

A university head says it is "fair" that new undergraduates question the affordability and value of the student loans they take out.

Prof David Maguire, Vice‑Chancellor of the University of East Anglia (UEA) in Norwich, said that despite recent changes to so-called Plan 2 loans, evidence showed that university was still "a very good deal".

He said it was right that the nation had a conversation about Plan 2 loans - issued between 2012 and 2023 - which have recently been widely criticised for their high interest rates.

Prof Maguire said speaking out was not "dissuading" people from applying to the UEA.

An estimated 5.8 million people took out Plan 2 student loans, which were introduced in September 2012 and phased out across England in 2023.

Education Secretary Bridget Phillipson said that she intended to look at changing the system, as the government faced pressure to reduce student debts, including from some Labour MPs.

Speaking after plans for the region's first dental school moved a step closer, Prof Maguire said that even with the current discussions about loans, he did not believe there would be a shortage of interest in the university's dentistry places.

"We know that subjects like medicine and dentistry are massively oversubscribed," he said.

When asked about his view on people raising issues with Plan 2 loans, he said: "I think it is fair that people ask the question about the affordability and the value of higher education."

He said that demand for courses at the UEA had not been affected by concerns raised about loans, and he believed going to university was still the best option for a "very large number of people".

"It does cost a lot of money, but everybody who evaluates the evidence quickly reaches the conclusion that it is a very good deal," Prof Maguire added.

"Everybody benefits."

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