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The UK has long been a leading destination for international students, attracted by its world-renowned universities and diverse culture. However, recent shifts in UK immigration policies have created a more challenging environment, leading to concerns about declining enrollment numbers and prompting universities to adapt. This article explores the impact of these policies, examining the challenges faced by UK universities and the strategies they are employing to navigate this new landscape.

The Value of International Students

International students play a crucial role in enriching the academic and cultural landscape of UK universities. Their presence fosters diversity, promotes global perspectives, and enhances the learning experience for all students.1 Beyond the academic realm, international students make substantial economic contributions to the UK. They pay higher tuition fees than domestic students, providing a vital source of funding for universities, especially in light of funding cuts and tuition fee caps for domestic students.2 This income allows universities to maintain facilities, invest in research, and offer a wider range of courses.3 In 2021/22, fee income from international students reached £11.8 billion, representing 23% of total university income.4 Moreover, international students contribute to the local economy through their spending on accommodation, food, and other living expenses.5 A study by London Economics estimated that international students starting in 2021/22 would bring a net economic benefit of £37.4 billion to the UK.6 In Manchester alone, the economic benefit translates to over £3,500 per resident for each cohort of international students.7

The Impact of Brexit

The UK's departure from the European Union has had a significant impact on international student enrollment, particularly for EU students. The loss of access to the Erasmus+ program, which facilitated student exchanges between the UK and other European countries, has made the UK a less attractive destination for many European students.8 Additionally, the introduction of international fees for EU students, who previously enjoyed home student status and lower tuition fees, has further deterred them from choosing the UK as a study destination. This has resulted in a sharp decline in EU student numbers, impacting the diversity of UK campuses and creating financial challenges for universities.

Recent Changes in UK Immigration Policies

In recent years, the UK government has implemented a series of immigration policies aimed at reducing net migration. While these policies are not solely targeted at international students, they have had a significant impact on their ability to study in the UK. Some of the key changes include:

  • Increased visa costs: The cost of applying for a student visa has risen due to increased visa application fees and the Immigration Health Charge, making it more expensive for international students to come to the UK.7
  • Restrictions on dependant visas: In January 2024, the government restricted the right of international students on taught postgraduate courses to bring dependant family members to the UK. This has made it less attractive for students with families to choose the UK as a study destination, as they may face difficulties in relocating with their loved ones.7 This policy has been criticised by university officials who argue it deters talented students and harms university finances.7
  • Changes to the Graduate route visa: The Graduate route, which allows international students to stay in the UK for a period after graduation to work or look for work, has undergone a review, creating uncertainty about its future. The review, prompted by concerns about abuse and the impact on net migration, ultimately concluded that the visa was not being widely abused and did not undermine the quality of the UK higher education system.9
  • Restrictions on switching to work visas: New students are prevented from switching to a work visa before the end of their courses, limiting their opportunities to gain work experience in the UK during their studies.8

These policy changes, coupled with rising tuition fees and the increasing cost of living, have made the UK a less accessible and less appealing option for many international students.10

Impact on Enrollment

The impact of these policies is evident in the declining enrollment numbers. Data from the Universities and Colleges Admissions Service (UCAS) shows a sharp fall in international applicants wanting to study at UK universities.10 Applications for study visas in August 2024 were 17% lower than in 2023.9 This decline is particularly pronounced for postgraduate taught courses, which have seen a significant drop in applications from countries like Nigeria, India, and Pakistan.9 While there has been a recent increase in international student acceptances, particularly for business and management postgraduate courses, the overall trend remains concerning.11 Home Office figures show a more dramatic drop of 31% in sponsored study visas from 2023 to 2024.8 Newly released data from the Office for National Statistics shows an estimated net migration to the UK of 728,000 for the year ending June 2024, marking a 20% drop from 906,000 in June 2023. The decrease is partly attributed to a decline in students bringing dependents.

Challenges for UK Universities

The decline in international student enrollment presents a number of challenges for UK universities:

  • Financial strain: Universities are facing a funding gap due to the loss of tuition fee revenue from international students. This is particularly challenging for smaller institutions that rely heavily on international student fees to remain financially viable.12 The potential loss of income from reduced international student numbers could have severe implications for university finances and could even lead to institutional collapse This financial strain is forcing universities to make difficult decisions, such as redundancies and cuts to courses and services.8 A university with 40,000 students and 4,000 staff could face job losses exceeding those at the Port Talbot steel mill (approximately 3,000) if it were to fail.12
  • Reduced diversity: Fewer international students could lead to a less diverse student body, impacting the cultural richness and global perspectives on campuses.2 This could lead to a less vibrant and stimulating learning environment for all students.
  • Impact on research: International students often contribute significantly to research activities, and their absence could hinder research output and innovation.12 A fall in international student numbers could particularly affect engineering departments, which rely heavily on international students, and could have broader implications for the UK's productivity and economic growth.12
  • Reputational damage: The perception that the UK is becoming less welcoming to international students could damage the reputation of UK universities and make it harder to attract talent in the future.9 This could have long-term consequences for the UK's standing as a global leader in higher education.

Furthermore, the impact of falling international student numbers is not evenly distributed among universities. Institutions with a high reliance on students from specific countries, such as India and Nigeria, are particularly vulnerable to the recent policy changes. This uneven distribution could exacerbate existing inequalities within the higher education sector and create further challenges for universities in certain regions.

Adaptations by UK Universities

In response to these challenges, UK universities are adapting their strategies and exploring new avenues to mitigate the impact of the policy changes:

  • Enhanced digital recruitment efforts: Universities are investing in online platforms, virtual open days, and social media campaigns to reach international students directly.14 This allows them to showcase their programs and facilities to a wider audience and engage with prospective students in a more personalized way.
  • International partnerships: Many universities are forming partnerships with institutions and organisations abroad to build more sustainable recruitment pipelines.14 This can involve collaborations with schools, universities, and government agencies in other countries to promote UK higher education and attract talented students.
  • Diversification of student markets: Universities are exploring new markets and expanding their recruitment efforts beyond traditional sending countries.8 This involves identifying countries with growing economies and a strong interest in studying abroad, and tailoring recruitment strategies to attract students from these regions.
  • Focus on student experience: Universities are placing greater emphasis on providing a positive and supportive experience for international students to enhance their satisfaction and encourage them to choose the UK.2 This includes providing comprehensive support services, such as academic advising, language support, and cultural integration programs, to help international students thrive in their studies and personal lives.
  • Advocacy and lobbying: Universities are actively engaging with the UK government to highlight the importance of international students and advocate for more welcoming policies.2 This involves working with government agencies and policymakers to ensure that immigration policies do not deter talented students from choosing the UK as a study destination.
  • Diversifying income streams: Universities are exploring alternative income sources to reduce their reliance on international student fees.8 This can involve expanding online learning programs, developing partnerships with businesses, and seeking philanthropic donations to ensure financial stability.
  • Importance of Post-Study Work Opportunities: Post-study work opportunities are crucial for attracting international students, as they provide a pathway to gain valuable work experience and potentially settle in the UK after graduation. The Graduate route visa, which allows international students to stay in the UK for two to three years after completing their studies, plays a significant role in attracting and retaining international students.

Government Policy on International Students

The new Labour government has sought to distance itself from what it has described as the "mixed messaging" of previous governments on international students. In July 2024, the Education Secretary, Bridget Phillipson, said the UK government unambiguously welcomed international students and valued their contribution to universities, communities, and the country. However, reconciling this welcoming stance with the broader immigration policy goal of reducing net migration remains a challenge. This tension between attracting international students and controlling immigration numbers could have significant consequences for the UK's higher education sector. While the Labour government has expressed support for international students and confirmed its commitment to maintaining the Graduate route visa,15 it has also indicated that it will not reverse the Conservative government’s decision to ban international students on UK taught master's courses from bringing dependants with them to the UK. This suggests that the current government is still grappling with the complexities of balancing its various policy objectives.

International Education Strategy

The UK Government's International Education Strategy sets out actions to meet ambitions to:

  • Increase the value of education exports to £35 billion per year by 2030.
  • Increase the total number of international students choosing to study in the UK higher education system (in universities, further education colleges and alternative providers) each year to 600,000 by 2030.

The latter ambition was met for the first time in 2020/21, with 605,130 international higher education students studying in the UK.

Funding

International student fees play a crucial role in university funding, especially with reduced teaching grants and frozen tuition fee caps for domestic students.4 In 2022/23, fee income from all international students was £11.8 billion, representing 23% of total university income, up from around 5% in the mid-1990s. International fees are not capped in the same way as the fees of 'home' students, and so providers can charge significantly more. However, there are growing concerns about the reliance of some UK universities on international tuition fee income, particularly from Chinese students. In June 2022, the House of Commons Public Accounts Committee warned higher education providers are potentially exposing themselves to significant financial risks should assumptions about future growth in international student numbers prove over-optimistic.

Costs and Benefits of International Students

International students bring significant economic benefits to the UK, with a net economic benefit of £37.4 billion estimated for the 2021/22 cohort.9 The government estimates that higher education 'exports' were worth around £21.7 billion to the UK in 2021. Their real value has increased by 81% between 2010 and 2021. Economic consultancy London Economics estimates that international students starting in 2021/22 would bring economic benefits to the UK of £41.9 billion, have costs to the UK of £4.4 billion, and hence net economic benefits of £37.4 billion.9

Public Perception of International Students

Despite concerns about immigration and the potential strain on public services, the UK public generally holds a positive view of international students and their contribution to the country.16 The majority of respondents (64%) in a recent poll believed that the UK should host the same or more international students, with only 9% wanting to discourage students and researchers from coming to the UK. This suggests that the public recognizes the value of international students in terms of their economic contributions, cultural enrichment, and the strengthening of international relations.

Cost of Studying in the UK

The cost of studying in the UK for international students can vary significantly depending on the university, the level of study, and the chosen program. Tuition fees for international undergraduate students in the UK can range from £11,400 to £38,000 per year, with medical degrees often exceeding this range.17 Postgraduate tuition fees for international students range from £9,000 to £30,000 per year. The cost of an undergraduate degree for an international student can range from £34,200 to £203,676 over three years, depending on the institution and program.

In addition to tuition fees, international students need to consider living expenses, which can vary depending on location and lifestyle. Average living costs for international students in the UK are estimated to be around £1,300-£1,400 per month in London and £900-£1,300 per month in other parts of the UK.18 Accommodation costs can vary significantly, with student halls in London averaging £848 per month and those in other parts of the UK averaging £664 per month.

Visa Requirements

To study in the UK, most international students need to obtain a student visa. The student visa allows individuals to live and study in the UK for the duration of their course.19 The application process involves several steps:

  1. Apply to a chosen university and receive an unconditional offer.
  2. Obtain a Certificate of Acceptance of Studies (CAS) from the university.
  3. Begin the visa application process.
  4. Pay the visa application fee and the Immigration Health Charge.
  5. Provide proof of English language proficiency, if required by the university.
  6. Complete the application online, upload documents and enrol biometrics.
  7. Receive entry clearance as a student before travelling to the UK.

Conclusion

Recent changes in UK immigration policies have undoubtedly created challenges for international student enrollment. The increase in visa costs and restrictions on dependant visas, have made the UK a less attractive option for some international students. This has led to declining enrollment numbers, particularly in postgraduate taught courses, and has created financial strain for universities. However, universities are demonstrating resilience and adaptability in navigating this changing landscape.

By enhancing digital recruitment efforts, fostering international partnerships, diversifying student markets, and prioritizing the student experience, UK universities are striving to maintain their position as global leaders in higher education. The future of international student enrollment in the UK will depend on the government's ability to balance its immigration policy goals with the need to attract and retain talented students from around the world. Universities will also need to continue adapting their strategies and demonstrating their commitment to providing a welcoming and supportive environment for international students.

Sources cited

  1. Study on the Influencing Factors of Undergraduate Students' Major Choice - Atlantis Press, https://www.atlantis-press.com/article/125975359.pdf
  2. The importance of international students to the excellence of UK HE - Study Group, https://www.studygroup.com/blog/the-importance-of-international-students-uk-he
  3. Factors Influencing International Students' Selection of Universities in China - AshEse Visionary, https://ashese.co.uk/files/AJEC__Vol__72_Nimako_et_al.pdf
  4. International students in UK higher education - UK Parliament, https://researchbriefings.files.parliament.uk/documents/CBP-7976/CBP-7976.pdf
  5. Factors influencing the university selection of international students - ResearchGate, https://www.researchgate.net/publication/303248856_Factors_influencing_the_university_selection_of_international_students
  6. The benefits and costs of international higher education students to the UK economy - HEPI, https://www.hepi.ac.uk/wp-content/uploads/2023/05/Full-Report-Benefits-and-costs-of-international-students.pdf
  7. Family visa rules for international students must change - professor ..., https://feeds.bbci.co.uk/news/articles/c3e40v79d5xo
  8. The future of international students in the UK and what this means for PBSA | CBRE UK, https://www.cbre.co.uk/insights/articles/the-future-of-international-students-in-the-uk-and-what-this-means-for-pbsa
  9. International students in UK higher education - The House of Commons Library, https://commonslibrary.parliament.uk/research-briefings/cbp-7976/
  10. 10.  https://www.theguardian.com/education/article/2024/aug/08/sharp-fall-in-international-applicants-wanting-to-study-at-uk-universities?CMP=Share_iOSApp_Other
  11. 11. Study In UK: International Student Acceptances Up 31% At Start Of 2025, https://www.businessbecause.com/news/in-the-news/9642/study-in-uk-international-acceptances-up-2025
  12. 12. Reduced international student numbers are a much bigger problem than you think - HEPI, https://www.hepi.ac.uk/2024/09/03/reduced-international-student-numbers-are-a-much-bigger-problem-than-you-think/
  13. 13. BBC investigates alleged poor English "open secret" in UK unis - The PIE News, https://thepienews.com/bbc-investigates-alleged-poor-english-open-secret-in-uk-unis/
  14. 14. How UK Universities Are Adapting to Declines in International Student Numbers, https://www.goodcourse.co/post/balancing-the-books-how-uk-universities-are-adapting-to-declines-in-international-student-numbers
  15. 15. New UK government video targets international students - The PIE News, https://thepienews.com/new-uk-government-video-targets-international-students/
  16. 16. New polling reveals public perception of international students - Universities UK, https://www.universitiesuk.ac.uk/latest/news/new-polling-reveals-public-perception
  17. 17. UK tuition fees for international students - Save the Student, https://www.savethestudent.org/international-students/international-student-fees.html
  18. 18. Cost of studying in the UK, https://study-uk.britishcouncil.org/moving-uk/cost-studying
  19. 19. Student visas | Study UK - British Council, , https://study-uk.britishcouncil.org/moving-uk/student-visas

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