Expert: More student loan interest information needed

More information about the government's plans for student loan interest rates should be released, it has been stated .

Ricky Bruce, Financial Researcher at Moneyfacts.co.uk, said it would be very useful if the government announced any changes it intends to make to the rate at which graduates repay their loans.

Asked if people should be looking to pay off their student debt, he remarked: 'It would seem to make sense if we're in a period of low interest rates ... and don't have any other loans that are being charged at higher interest rates through private companies.'

According to the Office for National Statistics, the total amount of money lent to eligible higher education students during 2007-008 was £3.9 billion.

The figure represented a rise of nearly one-third (32.2 per cent) on the previous financial year.

Meanwhile, the outstanding balance at the end of the financial year was £21.94 billion.