UK universities, known for their global prestige, are facing financial challenges as new visa restrictions lead to a decline in international student enrollments. This situation exacerbates existing issues from the country’s departure from the European Union (EU) four years ago.
In 2022, nearly 760,000 international students were enrolled in British universities, making the UK the second most popular higher education destination after the United States. The majority came from India, China, and Nigeria. However, in 2023, student visa numbers dropped by 5%, with applications between July and September down by 16% compared to the same period the previous year. This decline is worrisome for universities, as international students contribute significantly more in tuition fees than their British counterparts.
Chinese student Leo Xui, 20, who began studying population and health sciences at University College London in September, cited career benefits as his motivation for studying in the UK. His annual tuition fees are £31,000, whereas British students have paid a maximum fee of £9,250 since 2017. The new Labour government, elected in the summer, recently announced a modest fee increase to £9,535 starting next year. While universities welcomed this change, the increase is not enough to offset financial deficits exacerbated by inflation. Universities UK (UUK), representing 141 institutions, noted that current funding per student is at its lowest level since 2004, estimating that the real value of the £9,250 fee is now less than £6,000.
UUK President Sally Mapstone acknowledged at the September conference that universities are feeling financial pressure, or “the crunch.” To address budget shortfalls, many institutions have relied on international students, with some universities, such as London’s University of the Arts and Cranfield University, now seeing foreign students make up over half of their student population. Reports from earlier this year indicated that universities like York have even reduced admission standards to attract more international students.
Compounding these challenges, the previous Conservative government, ousted in July, imposed stricter visa regulations as part of efforts to reduce record migration levels. These measures included barring foreign students from bringing family members, with some exceptions, and preventing them from transitioning to work visas during their studies. As a result, the number of overseas applications in the first four months of 2024 was down by 30,000 compared to the same period in 2023. Nick Hillman, director of the Higher Education Policy Institute, stated that these numbers confirm the detrimental impact of the previous government’s policies, making the UK less appealing as a study destination.
Universities have been exploring solutions to mitigate these challenges. For instance, Coventry University, where more than a third of the 30,000 students are international, faced significant setbacks due to Brexit, seeing EU student numbers plummet to around 10% of pre-Brexit levels. Provost Ian Dunn described the Conservative government’s approach as “very destructive,” adding that it has made financial conditions “difficult.” To adapt, Coventry University has partnered with institutions in countries like Egypt, Morocco, India, and China to establish international campuses. Students at these campuses earn Coventry University degrees without having to travel to the UK.
Some universities have also resorted to cutting courses and teaching positions as a response to falling international student numbers. A lecturer, speaking anonymously, noted that this decline has intensified the crisis, pushing some students to seek education in countries like Canada, Australia, and the Netherlands, where English-language courses are offered without stringent visa restrictions.
