Jeremy Corbyn greets supporters in Renishaw – but others are less enthusiastic about his spending commitments (Picture: AFP)

Jeremy Corbyn has hinted that he could write off existing student debt and pay everyone in the country a Universal Basic Income (UBI).

The Labour leader said that while neither idea is official party policy, both are being looked at – as he branded current graduate debt levels ‘unfair and wrong’.

In a wide-ranging exclusive interview with Metro.co.uk, Mr Corbyn also ruled out forming a coalition, addressed the make-up of his future cabinet and revealed his main regret while being in charge of Labour.

Speaking at the launch of an ‘Arts For All’ programme yesterday – when he also criticised the Conservative manifesto for continuing to allow people to ‘die on the streets’ – he said his party are ‘actively considering’ UBI.




Mr Corbyn explained: ‘We are looking at what we will do about existing levels of student debt, much of which has not been repaid and in some cases never would be repaid anyway.

Student debt stands at around £121 billion (Picture: Getty Images)

Many graduates face debts of more than £50,000 (Picture: Getty Images)

Mr Corbyn has not made a firm commitment on the issue (Picture: Reuters)

‘But selling the loan book, which is what the government has set itself as trying to do (and raising interest rates) is not a sensible way of doing things – we are loading debt on to people whose skills we need in our society and it is just unfair and wrong.’

‘The immediate priority is to end the university fees and to bring back maintenance grants for those who need them and we are looking at how we can support those who are suffering from a student debt at the present time’.

In the 2017 election, Mr Corbyn told NME that he did not see why those with the ‘historical misfortune to be at university during the £9,000 period should be burdened excessively’ – but a firm commitment is yet to become party policy.

Many graduates now face debts of at least £50,000.

And according to the House of Commons Library, current student debt levels nationwide stand at around £121 billion – meaning any move to reduce it out could leave Labour open to further questions over spending.

The Labour leader is keen to end austerity with a wave of new spending (Picture: PA)

On UBI – which could in theory replace the welfare system with a state-paid living wage – the Labour leader added: ‘(Shadow Chancellor John McDonnell) has talked about (UBI).

‘It obviously is something that is being looked at and actively considered but is not in our manifesto.’

The idea has been trialled in various areas and been around since the 1960s, but critics say it is too costly.

In May, Labour claimed it would pilot the idea if it won power – which its manifesto confirmed in brief.

It said then that people would be given the income regardless of their wealth, and though there would be no restrictions on how to spend it, the money would be intended for studying, setting up a business, or to allow people to care for loved ones full time.

Mr Corbyn played down his spending commitments (Picture: PA)

Labour’s economic plans have already come under scrutiny (Picture: Getty Images)

Mr Corbyn’s party have already signed up to spending levels which have been labelled ‘extreme and unrealistic’ and are significantly higher than Conservative plans.

The party plan to boost spending by £32 for every £1 the Tories would, in an £83 billion economic boost.



But critics say the proposals, which do not include a possible £58 billion pound compensation package, could lead to economic issues for the country.

However, Mr Corbyn noted that under his manifesto, spending would still be lower than other major economies, which spend more as a proportion of GDP than Labour would.

The 70-year-old said he had only committed to plans that he thinks are economically ‘credible’ and added: ‘The whole of our manifesto puts Britain still below the levels of public activity in both France and Germany.

‘But it nevertheless would be a big improvement on what we are at the moment – we are now at the bottom of all lists on levels of public spending on good quality services.’

Got a story for Metro.co.uk? Get in touch with our news team by emailing us at webnews@metro.co.uk. For more stories like this, check our news page.