Published 19 Nov, 2024
UK Universities Confront Funding Crisis as International Students Seek Alternatives
Written By
Gift Ujuaku
Despite their esteemed global reputation, UK universities are grappling with a funding crisis as visa restrictions deter international students, severely impacting their financial stability.
These restrictions exacerbate challenges stemming from the UK's exit from the European Union four years ago. In 2022, nearly 760,000 foreign students enrolled in British institutions, positioning the UK as the second most sought-after destination after the United States in an increasingly competitive landscape.
The majority of these students hail from India, followed by China and Nigeria. However, last year witnessed a 5 percent decline in student visa approvals. Between July and September, applications plummeted by 16 percent compared to the same timeframe in the previous year.
This downturn raises significant alarms for higher education institutions, as international students contribute substantially higher fees than their British counterparts.
Leo Xui, a 20-year-old from China studying population and health sciences at University College London, expressed his optimism about studying abroad. “It’s good for my career,” he remarked, reflecting on the advantages of international experience when he eventually returns to China. His tuition for the academic year stands at £31,000 (approximately €37,200). British students in England have been charged a maximum of £9,250 since 2017. Recently, the newly elected Labour government announced an increase of this cap to £9,535 for the upcoming year; a decision welcomed by universities long advocating for a rise.
Universities UK (UUK), representing 141 British higher education institutions, cautioned at its September conference that funding per student has reached its lowest point since 2004. The organization estimates that the £9,250 fee now holds a value of less than £6,000 due to inflationary pressures, leading to deficits in teaching and research.
“We are all feeling the crunch,” stated UUK president Sally Mapstone during the conference.
To bridge budget shortfalls, universities have increasingly relied on foreign students, with many becoming financially dependent on this demographic. A parliamentary report indicates that international students constitute over half of the enrollment at London’s University of the Arts and Cranfield University, a science and engineering institution located just north of the capital. Earlier reports from the Financial Times revealed that some universities, including York, have lowered admission standards to attract more international applicants.
However, the previous Conservative government complicated matters by imposing stringent visa restrictions aimed at curbing record levels of overall migration. These measures included barring foreign students from bringing family members—save for specific exceptions—and prohibiting them from transitioning to work visas while still enrolled.
Official statistics reveal a stark reality: in the first four months of 2024 alone, there were 30,000 fewer applications from international students compared to the same period in 2023. “These hard numbers confirm our fear that the previous government’s changes have made the UK a less attractive study destination,” commented Nick Hillman, director of the Higher Education Policy Institute think tank.
Provost Ian Dunn of Coventry University noted that over a third of its 30,000 students come from abroad and criticized the “destructive narrative” propagated by the Conservative Party. The institution has already felt the repercussions of Brexit. “We had 4,400 students from the European Union; now we’re probably at just 10 percent of that,” he lamented.
A lecturer at another English university highlighted that cuts to teaching positions and courses have become necessary due to dwindling international enrollment. “The drop in international students has dramatically worsened the crisis for us,” she stated on condition of anonymity due to media restrictions. “Some have opted for Canada, Australia, or the Netherlands where English-taught programs are available.”
Coventry University may have discovered a viable solution by collaborating with overseas institutions to establish campuses in various countries including Egypt, Morocco, India, and China. Students may complete their studies without ever setting foot in the UK yet still receive a degree from Coventry University, according to Dunn.
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