Universities must consider world without international students, experts warn

UK universities have been told to prepare for a future in which they are no longer the dominant recruiters of international students, despite an increase in foreign graduates staying in the UK to work. 

International students currently make up 26% of the UK student population, though a leading expert has warned that universities do not have an inherent right to keep recruiting international students.

David Pilsbury, Chief Development Officer at Oxford International Education Group, has told universities: “Do not think that world-class higher education delivered in the UK means that we have a God-given right to continue to be a top recruiter.”

One reason for this is families’ finances. Janet Ilieva, founder of the Education Insight Consultancy, said that, while China and India are prominent sources of international students, there have been “some significant changes in terms of student decision-making”.

There has been a notable decrease in average disposable income for Chinese families meaning that, since Covid-19, they have become more price-sensitive when making decisions about university

She stated that there has been a notable decrease in average disposable income for Chinese families meaning that, since Covid-19, they have become more price-sensitive when making decisions about university. As a consequence of this, many students are moving to universities closer to home, in countries like South Korea and Thailand.

With shifting destinations for international students, education experts have said that the UK must capitalise instead on ‘transnational education’ (TNE) – education delivered in a different country to the one where the awarding institution is based.

Some experts, including Pilsbury, have even gone as far as to call TNE “essential” in a post-Covid society.

Ilieva also added that “in a situation where money is much tighter […] we’re likely to see a growing proportion of students and families considering cost-effective options”, with the help of TNE.

In 2024, half of non-EU students and their dependents changed to either a work visa or another visa after three years in the UK. Three years ago, that number was 10% lower

Despite this, recent figures have revealed that student visas are still being used as a way for international students to stay in the UK to work after graduation.

Data from the Office for National Statistics (ONS) revealed that, in 2024, half of non-EU students and their dependents changed to either a work visa or another visa after three years in the UK. Three years ago, that number was 10% lower. It has been suggested that this could be a means to permanent residency.

Shadow Home Secretary Chris Philp has argued that the numbers were “far too high”, and that “student visas cannot become a parallel immigration system”.

He called on the Government to “urgently review the quality of the courses and the institutions giving out these visas” and to “urgently introduce a hard cap on the number of […] visas being issued each year”.

Overseas students deliver real benefits to Britain, but it’s vital the system isn’t exploited and that the rules are followed and enforced

Home Office spokesperson

A spokesperson for the Home Office said: “Overseas students deliver real benefits to Britain, but it’s vital the system isn’t exploited and that the rules are followed and enforced.”

The spokesperson added: “Our immigration white paper will look at strengthening the rules to ensure routes aren’t being used inappropriately.”

Regardless of whether international student numbers are perceived to be increasing or decreasing, commentators have argued that the implication that universities are selling courses to simply get money from international students cannot be ignored.

Financial commentator Matthew Lynn wrote in his Telegraph column: “If [universities] can’t get by on selling visas, they will have to get by selling education instead. It’s time for the fat cat vice-chancellors to earn an honest living.”