UK universities are facing a severe financial crisis due to visa restrictions on international students. The restrictions, implemented last year, have resulted in a significant decline in international student applications, leading to a £1.7 billion deficit for teaching and a £5 billion shortfall for research.
University leaders are urging the government to raise domestic tuition fees, which have been capped at £9,250 since 2017, to help offset the deficits. They argue that fees should be set between £12,000 and £13,000 to reflect rising costs.
The President of Universities UK, Sally Mapstone, warned that the sector is “feeling the crunch” and that there is a clear choice: “We can allow our distinguished, globally competitive higher education system to slide into decline or we can act together.”
The visa restrictions, aimed at reducing record levels of immigration, have resulted in 30,000 fewer international student applications in the first four months of 2024 compared to the same period in 2023.
University officials have repeatedly raised concerns over the financial impact of the visa restrictions, and there are fears that some institutions may be forced to cut courses or even close their doors if urgent action is not taken.
The new Labour Education Secretary, Bridget Phillipson, acknowledged the financial challenges faced by the sector and promised to give the issues attention and commitment. However, she did not promise immediate resolutions, and university leaders are calling for urgent action to address the growing crisis.
