The NDP commits to cancelling up to $20 000 per person in federal student loan debt

The plan also includes a moratorium on student loan payments until the pandemic ends, permanently cancelling interest on student debt, and working towards tuition free post-secondary education

Today, NDP Leader Jagmeet Singh presented the NDP’s plan to help young people get the start they need. The NDP plan includes putting a moratorium on student loan payments, cancelling up to $20,000 of federal student loan debt, and giving new graduates a five-year head start before having to repay any federal student loan.

“Young people are burdened by thousands of dollars in student loan payments which take years to pay off. The COVID-19 pandemic and the Kenney government’s massive cuts to post-secondary institutions have only made things worse, coupling an economic crisis with rising tuition rates,” said MP Heather McPherson (Edmonton Strathcona). “Canada should be working towards tuition-free post-secondary education. Instead, student debt keeps rising.”

Young people have been among the hardest hit during COVID-19. 58 per cent of youth have suffered financial setbacks due to the pandemic and 61 per cent have faced reduced employment including fewer hours and job loss. McPherson’s motion to extend an emergency moratorium on student loan repayment received unanimous consent in the House of Commons in November 2020 but the government is yet to act on its promise.

“An education should help young people get ahead, not leave them further behind,” said Singh at the announcement. “Since they have been in government, the Liberals have taken over $4 billion from students in interest payments, taking money out of the pockets of young people who are already feeling the squeeze. New Democrats are committed to a future where tuition is free and where no one needs to take on debt to get an education.”