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Written question asked by Andrea Jenkyns (Conservative) on Thursday, 28 April 2016, in the House of Commons. It was due for an answer on Wednesday, 4 May 2016. It was answered by Lord Johnson of Marylebone (Conservative) on Tuesday, 10 May 2016 on behalf of the Department for Business, Innovation and Skills.

Students: Loans

Question

To ask the Secretary of State for Business, Innovation and Skills, what steps he is taking to ensure that nationals of other EU member states who have taken out student loans but do not reside or work in the UK make their loan repayments.

Answer

The Student Loans Company (SLC) has arrangements in place to collect repayments from borrowers who move away from the UK. SLC establishes a 12 month repayment schedule based on the borrower’s income and provides information on the methods of repayment available.

SLC sets up fixed repayment schedules for borrowers who do not remain in contact and will place those borrowers in arrears. Further action, including legal action, can then be taken to secure recovery. EC regulations allow the SLC to obtain judgments in UK courts, which can be enforced by courts in other EU countries.

The Department published a Joint Repayment Strategy in February 2016, which sets out how action will be taken to trace borrowers and act to recover loans where avoidance or evasion is identified. This publication can be found at https://www.gov.uk/government/publications/student-loan-repayment-strategy

Secondary information

Type
Written question
Reference
36095
Session
2015-16
Subjects
EU nationals Loans Students
Link
View this Written question on www.parliament.uk