‘Socialism’ or ‘giant step forward’: Liberals and conservatives clash over Biden student loan cuts

Mitch McConnell calls Biden move ‘student loan socialism’ as progressives and activists see decision as a victory

Shortly after President Joe Biden announced that he would cancel $10,000 in student loans for many borrowers, reaction was split along partisan lines, with liberals and progressives celebrating the move as conservatives cried socialism.

Senate Republican leader Mitch McConnell hit out at the president shortly after the announcement.

“President Biden’s student loan socialism is a slap in the face to every family who sacrificed to save for college, every graduate who paid their debt, and every American who chose a certain career path or volunteered to serve in our Armed Forces in order to avoid taking on debt,” he said in a statement on Tuesday. “This policy is astonishingly unfair.”

On the other side of the aisle, progressives and Democrats hailed the announcement as a “giant step forward”.

Senate Majority Leader Chuck Schumer and Senator Elizabeth Warren released a joint statement hailing Mr Biden’s decision.

“The positive impacts of this move will be felt by families across the country, particularly in minority communities, and is the single most effective action that the President can take on his own to help working families and the economy,” the lawmakers said.

Representative Ayanna Pressley of Massachusetts, the leading voice for debt cancellation on the House side, said the announcement was the result of hard work by organisers.

“We would not be here today if it were not for the broad and diverse coalition working relentlessly to make this moment possible and to move the issue of student debt cancellation from whispered conversations at the dinner table to the forefront of our political discourse,” she said in a statement. “Today is a victory for the movement and for so many families.”

Melissa Byrnce, co-founder of We the 45 Million, told The Independent that while she was not excited about the means-testing aspect of the order, it would still be a relief to many.

“Today is day one in the new fight to bring dignity to everyone in higher education,” she said.

The White House announced that the $10,000 worth of debt will be canceled for millions of borrowers and that the pause on student loans that began because of the Covid-19 pandemic will continue until 31 December.

In addition, recipients of Pell Grants – a programme meant to assist low-income college students – could be eligible to have up to $20,000 in debt canceled as a means to ensure people most in need receive aid. Some estimates say that announcement could help up to 43 million people, with 20 million people having their student debt wiped out altogether.

-Alex Woodward contributed reporting.