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UK Caps Student Loan Rates at 6% Amid War

4/9/2026

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Story summary
  • The UK government has capped student loan interest rates at 6%, effective September 1.
  • The change is intended to mitigate the economic fallout from the Iran war.
  • Most borrowers will not see a reduction in lifetime repayments.
  • Critics say the cap is temporary.
  • The government faces scrutiny for not addressing deeper flaws in the repayment structure.