UK universities face crisis as international student numbers plummet
British universities are bracing for a financial crisis as new figures reveal a dramatic decline in international student applications.
Data from the Home Office shows a 28% drop in applications for sponsored study visas compared to the previous year.
In June, only 28,200 applications were received, down from 38,900 in the same month of 2023. This decline is attributed to the lingering effects of visa restrictions implemented by the previous government.
The summer months typically see the highest volume of student visa applications, leaving many universities clinging to hope for a last-minute surge before September.
However, more recent data obtained by the Guardian paints an even bleaker picture for the sector.
Enroly, a service utilised by international students for managing university enrolments, has reported alarming statistics from 31 UK universities.
Their data shows a 41% decrease in deposits and acceptances by international students up to early July.
The decline is particularly pronounced in postgraduate taught master’s courses, which have seen a staggering 55% reduction compared to 2023. Undergraduate numbers have also fallen, though less dramatically, by 23%.
Downturn coincides with visa policy restrictions
This downturn coincides with policy changes implemented in January, which prevent international students on taught postgraduate courses or undergraduate degrees from bringing family members or dependents on a student visa.
Jeff Williams, Enroly’s chief executive, commented on the situation:
“Our UK university colleagues are working tirelessly to continue to attract international students to their programmes. One positive note is that the intake appears to be catching up month-to-month from a very slow start. It remains to be seen where the final year-on-year numbers for September will land.”
The potential impact of these declines is significant.
In the 2021-22 academic year, over 240,000 full-time international students began taught postgraduate courses, with an additional 104,000 starting undergraduate programmes.
If Enroly’s figures prove representative of the entire sector, it could mean approximately 150,000 fewer international students arriving on UK campuses this autumn.
This drop in international student numbers poses a serious threat to the financial stability of many universities.
With income from international tuition fees forming a crucial part of their budgets, and tuition fees for domestic students remaining frozen in England, experts are sounding the alarm about the sector’s financial health.
Mark Corver, chief executive of higher education consultancy DataHE, pointed out that the heavy reliance on international student fees is a direct result of government policy.
“That’s caused a huge financial distortion that has driven universities to raise income by other means,” Corver explained, referring to the previous government’s decision to keep domestic tuition fees at £9,250 for nearly eight years.
The financial pressures on universities are further compounded by rising costs and inflationary pressures.
Many institutions have already implemented cost-cutting measures, including staff redundancies and programme closures. The potential loss of a significant portion of international students could force even more drastic actions.
However, there may be a glimmer of hope on the horizon. Corver suggests that August’s A-level results could play a crucial role in mitigating the financial impact.
If improved exam grades encourage more UK school leavers to pursue higher education, it could partially offset the expected losses from international students.
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