Local MP Alan Mak has called for a review of the student loan system to help with cost of living pressures.
He is among MPs who have signed a cross-party letter urging Chancellor John Healey to look at the current structure of repayments.
There is growing concern about the compounding financial pressure on recent graduates and early career professionals, with adjustments to repayment thresholds, high interest and marginal tax rates placing an unsustainable burden on the next generation of workers.
The letter said: "Across the country, we are hearing from young teachers, nurses, engineers, and entrepreneurs who are facing historically high effective marginal tax rates.
"For many middle-income graduates, the combination of income tax, National Insurance, and student loan repayments means they see less than half of any hard-earned pay rise.
"At a time when the cost of living remains a primary concern, this significantly diminishes
disposable income, delays milestones such as first-time homeownership and family formation, and disincentivises career progression."
Mr Mak said: "I believe the current student loan repayment framework requires urgent review to ensure it is fair, sustainable and supportive of aspiration."
