The 2007 Budget announced a programme of sales of student loans, the aim of which is to transfer the risks of the loan book to investors in return for an improved flow of cash into the national accounts.
The Sales of Student Loans Bill would authorise the first sale of student loans since the pre-1998 student loan book was sold off in the late 1990s. The book value of the student loans is at present around £17bn and growing; the sale of the first tranches of debt are expected…
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