Chuka Umunna MP, Labour’s Shadow Business Secretary, commenting on IFS analysis of the Budget’s student finance proposals, said:

“After trebling student fees in the last Parliament, now ministers are burdening the poorest students with more debt while cutting funding for universities.

“As the IFS highlights, the replacement of maintenance grants with loans will raise debts for the poorest students and won’t improve government finances in the long term. At the same time, with the freezing of repayment thresholds, graduates will start paying back at a far lower level of income than previously, and will end up paying £3,800 more on average.

“Instead of investing in future generations the government is making life harder for people who want to get on, massively increasing the cost of higher education, particularly for the poorest students.”