The US Supreme Court has blocked President Joe Biden’s plans to forgive student loan debt for millions of Americans, according to White House sources.
The 6-3 decision effectively killed the $400bn plan, announced by the president last year, and left borrowers on the hook for repayments that are expected to resume by late summer.
The court held that the administration needs Congress’ endorsement before undertaking so costly a program.
The majority rejected arguments that a bipartisan 2003 law dealing with student loans provided the authority Mr Biden claimed.
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