The Conservatives have called on Andy Burnham to cap student loan interest at inflation, measured by the UK Retail Price Index (RPI).
Kemi Badenoch outlined the policy in February, maintaining that it would save graduates tens of thousands of pounds.
The renewed demands to “fix student debt” come as A-level students prepare to receive their exam results.
The party also pledged to scrap university courses leaving graduates “saddled with debt and with no job prospects”, reinvesting savings into apprenticeships.
Shadow education secretary Laura Trott said: “We need to stop funnelling young people into university courses that leave them saddled with debt and with no job prospects, which (Education Secretary) Lucy Powell has said she had no interest in doing.
“We should aspire for more choices for young people at 18 and we can do this through Our New Deal for Young People by axing these courses, doubling apprenticeships and fixing student loan debts.
“Young people deserve a better deal and they are being let down by Labour.”
Ms Trott blamed Labour taxes and red tape for the fact that more than one million young people are now not in education, employment or training (Neets).
She said: “Lucy Powell has said we have had an ‘over focus’ on academic standards, but this ‘over focus’ has driven up standards and improved opportunities for the most disadvantaged.
“Labour’s choices have destroyed the jobs market for young people and youth unemployment is a crisis.
“Instead of looking at what we can do to improve opportunities, Labour are hell-bent on blaming schools for their own failure to crack down on spiralling welfare and business red tape.”
Shadow minister for policy development Neil O’Brien said: “Young people are being sold a raw deal, leaving university saddled with debt and struggling to find good jobs.
“It isn’t enough simply to talk about the problem. Ministers must act now to fix student debt and improve young people’s prospects.
“Our New Deal for Young People will scrap real interest on student loans, ditch debt trap degrees, double apprenticeships and create genuine opportunities for young people to thrive. That is how to make a real difference.”