Jeremy Hunt is set to launch his leadership campaign this week, and will pledge to cut interest rates on student loans

Jeremy Hunt today unveils his radical blueprint for Britain’s future generations as he attempts to woo younger voters with a pledge to cut the interest rate on student loans.

The foreign secretary will shift his focus away from Brexit with a domestic policy blitz designed to appeal to the next generation of voters.

As part of his five-point plan to “end the divide between young and old”, he will pledge to change the formula through which many graduates pay interest rates of more than 6%.

The rate on many student loans is currently set at the retail prices index (RPI) — one measure of inflation — plus 3 percentage points. That currently means a rate of more than 6%, equivalent to about £5,000 of interest,