Member

The amendment in the name of my noble friend Lord Leigh of Hurley would exempt salary sacrifice pension contributions over the limit from being included in student loan repayment definitions. This is an eminently sensible amendment which would help to protect those who are repaying student loans. As noble Lords will know from the extensive media and parliamentary coverage, graduates on the plan 2 loan are being hit particularly hard. This amendment would help to limit the blow that this policy would otherwise exact upon them. The student loan repayment arrangements are very unsatisfactory, as I know from talking to members of our own team. We must not further penalise people for striving, and the amendment would help, in a concrete way, those graduates who are trying to save into a pension. Should my noble friend wish to test the opinion of the House on this matter, we will be pleased to support him.