Fall in study visa applications rings ‘alarm bells’ for UK sector

London Higher warns that a 16 per cent drop in student visa applications could represent £1 billion pounds in lost revenue for the sector 

August 8, 2024
Alarm bells for UK sector
Source: iStock/ BrianAJackson

The number of people applying for international student visas in the UK has fallen by a third so far this year in new figures which will set off “alarm bells” across the sector, it has been warned.

Home Office data shows that 69,500 sponsored study visa applications were submitted by main applicants in July – which was 15 per cent less than in the same month in 2023. Meanwhile applications from dependants fell by 84 per cent over the same period.

A ban on students bringing dependants unless they are on postgraduate research courses came into effect in January, and has already had clear impacts on visas. It remains in place under the recently elected Labour administration.

The number of applications tend to peak in August, so the Home Office cautioned that the full extent of any changes will not be known yet, but the figures for 2024 to date show a clear trend.

The total number of main applicant sponsored study visa applications submitted between January and July fell by 16 per cent between 2023 and 2024, to 156,800. The number of dependant visa applications is down 81 per cent.

Mark Corbett, head of policy and networks at London Higher, said the reduction in visa numbers will “no doubt set alarm bells off across the sector” and could have serious consequences for the diversity and financial health of UK universities.

“A 16 per cent drop in student visa applications could represent almost a billion pounds in lost revenue for the sector next year if acceptances of international students remain at the same level, at a time when reduced income from home tuition fees is already threatening the sector’s financial sustainability,” he added.

“Not only this, but it could lead to reduced cultural exchange and skills gaps in high growth sectors.”

Taken together, the Home Office data shows that the number of sponsored study-related visa applications – for main applicants and dependants – is down a third on last year.

Mr Corbett said higher education needed state support to ensure its “continued vitality”, which in turn aids the government’s attempts to revitalise the economy, and contributes significantly to the UK’s soft power.

“We would welcome a firm commitment from the home secretary that the graduate route will remain in place so we can continue to attract international students to our higher education institutions in the future,” he added.

In response to the figures, the Society of Chemical Industry (SCI), which promotes collaboration and innovation between science and industry, called for reform of the academic visa system to encourage the previous flow of students and researchers into the UK.

“These bright minds are vital if the UK is to meet global challenges, such as the development of climate change technologies, food production and medicines of the future,” added a spokesperson.

And RSM, a leading audit, tax and consulting firm, also warned that visa restrictions are having a detrimental effect on the bottom line of UK universities.

Lisa Randall, partner and head of higher education at RSM UK, said: “Higher education providers predict their income streams based on a diverse student population, and this dip in international visas, combined with lower Ucas application this year, will rock the financial stability of many UK universities, at a time when financial sustainability of the sector remains high focus.”

patrick.jack@timeshighereducation.com

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