Barclays with the note.
The US Supreme Court has thrown out Joe Biden’s student loan relief scheme in a fatal blow to one of the administration’s flagship programmes. In a 6-3 decision penned by Chief Justice John Roberts, the court’s conservative majority held that the government had no authorisation for the programme under the Heroes Act, which was passed following the September 11 attacks and allowed the administration to grant student loan relief in a national emergency. The Supreme Court’s decision will block one of the cornerstones of Biden’s economic policy, which would have erased hundreds of billions of dollars of student debt by wiping out a portion of loans for millions of Americans. The programme proposed scrapping up to $10,000 in debt for most individuals earning up to $125,000. The non-partisan Congressional Budget Office estimated it would have costed more than $400bn.
That is about 0.8% of GDP up in smoke.
