Universities across the United Kingdom are facing financial challenges due to new visa restrictions for international students. On Thursday, they called for an increase in domestic tuition fees to counter substantial deficits.
Sally Mapstone, the president of Universities UK (UUK), which represents 141 British higher education institutions, stated that all universities are “feeling the crunch” since these restrictions were implemented last year.
“There is now a clear choice: we can watch our esteemed, globally competitive higher education system decline, or we can unite and take action,” she remarked.
According to a House of Commons research report, the total income of the British higher education sector for the 2022-23 fiscal year exceeded £50 billion ($66 billion), primarily derived from tuition fees and grants.
International students usually pay higher tuition fees than their domestic peers, making them a vital source of revenue for many institutions. However, the prior government under Conservative ex-Prime Minister Rishi Sunak imposed restrictions on overseas student visas and prohibited them from bringing family members along, as part of a crackdown on record-high immigration.
Official statistics reveal that in the first four months of 2024, there were 30,000 fewer applications from international students compared to the same period in 2023.
Universities have been sounding alarms for months about the potential impact on their finances, warning that budget shortfalls could lead to course cuts and even the closure of some institutions.
During a UUK conference in Reading, west of London, Mapstone highlighted a current teaching deficit of £1.7 billion and a £5 billion shortfall in research funding. She urged the government for “investment and support” to sustain world-class teaching and research.
Domestic tuition fees, which increased from £9,000 to £9,250 per year in 2017, have remained unchanged despite rising inflation. Shitij Kapur, head of King’s College London, emphasized that fees should now range between £12,000 and £13,000.
In a video address at the UUK conference, the new Labour government’s Education Secretary, Bridget Phillipson, recognized the “complex problems” facing universities.
“I can’t promise painless or immediate solutions,” she stated. “But I assure you that these issues will receive the attention and commitment they deserve.”
