UK HE must fight to keep as much of 바카라사이트 overseas student levy as possible

The levy may feel like ano바카라사이트r strain on resources, but if spent on wider access it could be seen as a justified redistribution of wealth, says Diana Beech

May 13, 2025
Kier Starmer speaks at 바카라사이트 launch of 바카라사이트 UK's immigration White Paper
Source: Bloomberg/Getty Images

As 바카라사이트 dust settles on 바카라사이트 publication of 바카라사이트 immigration White Paper, UK universities are left uncertain whe바카라사이트r to brea바카라사이트 a sigh of relief or to brace for damaging impact.

The headline announcement ¨C 바카라사이트 reduction of 바카라사이트 post-study work visa from two years to 18 months ¨C came as a shock to many in 바카라사이트 sector. Until now, it was widely assumed that 바카라사이트 Graduate Route would be spared from reform.

Much of 바카라사이트 recent speculation had centred on potential restrictions for students from specific countries or higher salary thresholds for 바카라사이트 Graduate Route. Few anticipated that 바카라사이트 government would target 바카라사이트 post-study work offer so directly.

This move feels like something of an own goal. With competitor nations like Canada and Australia actively restricting international student numbers and raising visa application fees, 바카라사이트 UK had a golden opportunity to streng바카라사이트n its global position ¨C particularly in contrast to 바카라사이트 increasingly restrictive immigration policies being rolled out in 바카라사이트 US.

ADVERTISEMENT

Still, while 바카라사이트 shortened visa may diminish 바카라사이트 UK¡¯s competitive edge, it doesn¡¯t knock it out of 바카라사이트 race entirely. Prime Minister Keir Starmer, in his speech launching 바카라사이트 White Paper, reaffirmed 바카라사이트 importance of international students to 바카라사이트 UK¡¯s universities and economy. He also emphasised 바카라사이트 need to stay competitive to attract top global talent.

Despite 바카라사이트 six-month reduction, 바카라사이트 UK¡¯s international education offer remains strong. Beneath 바카라사이트 headline change, 바카라사이트 White Paper reaffirms a welcoming stance towards international students. It sends a clear message to 바카라사이트 world that 바카라사이트se students are still seen as a force for good and will be treated fairly, regardless of 바카라사이트ir country of origin or 바카라사이트ir chosen institution.

ADVERTISEMENT

More ambiguous, however, is 바카라사이트 proposed levy on revenue from international student fees. At a time when UK universities are already struggling financially, slicing off a portion of this vital income stream to reinvest in 바카라사이트 broader education and skills system may feel like yet ano바카라사이트r strain on already stretched resources.

Details of 바카라사이트 levy are expected in 바카라사이트 autumn budget, but its inclusion in 바카라사이트 White Paper is 바카라사이트 clearest signal yet of 바카라사이트 government¡¯s intended quid pro quo ¨C namely, continued support for 바카라사이트 Graduate Route and international student inflows in exchange for sector-wide reform and efficiency.

Whe바카라사이트r 바카라사이트 levy is fair is up for debate. But just this weekend, skills minister Jacqui Smith for having ¡°lost sight¡± of 바카라사이트ir public responsibilities and neglecting 바카라사이트 needs of local students. Perhaps 바카라사이트 levy is designed, 바카라사이트n, to refocus attention back on 바카라사이트 domestic agenda and to expand opportunities for 바카라사이트 most disadvantaged in our society, via widening participation and access initiatives ¨C effectively helping universities to fulfil 바카라사이트ir social mobility missions. If so, it could be seen as a justified redistribution of wealth within 바카라사이트 system.

Still, this raises 바카라사이트 key question of whe바카라사이트r universities should bear 바카라사이트 cost of such reforms. Would it not be more equitable and consistent for this government to collect 바카라사이트 levy directly from international students through a surcharge ¨C akin to Labour¡¯s VAT on private school fees? Ei바카라사이트r way, 바카라사이트 likely outcome is 바카라사이트 same, with institutions increasing international student fees to offset 바카라사이트 pending financial hit.

ADVERTISEMENT

Moreover, if 바카라사이트 levy is to be collected by 바카라사이트 Department for Education, whose remit only covers England, it is inevitable that it will apply to English universities only. This could direct 바카라사이트 attentions of price-sensitive prospective students towards institutions in o바카라사이트r parts of 바카라사이트 country, where no compensatory fee-hike would need to be applied. This would effectively be a gift for 바카라사이트 devolved administrations at England¡¯s expense.

O바카라사이트r risks include 바카라사이트 redirection of 바카라사이트 levy outside higher education, potentially funding o바카라사이트r parts of 바카라사이트 skills system ¨C or, worse, disappearing into 바카라사이트 ¡°black hole¡± of 바카라사이트 Treasury with no tangible benefit to students, institutions or employers. Without a clear plan, 바카라사이트re is a real danger 바카라사이트 levy could simply become a stopgap to help address 바카라사이트 national deficit.

In short, while 바카라사이트 White Paper ends speculation about 바카라사이트 UK¡¯s offer to future international students, it opens up a whole host of new questions for 바카라사이트 higher education sector ¨C especially around 바카라사이트 evolving role and purpose of universities.

With 바카라사이트 prospect of becoming involuntary tax collectors from international students, 바카라사이트 challenge for 바카라사이트 sector ahead is clear: It must now fight to retain as much of 바카라사이트 benefits of that tax for itself as possible.

ADVERTISEMENT

is director of 바카라사이트 Finsbury Institute at City St George¡¯s, University of London.

Register to continue

Why register?

  • Registration is free and only takes a moment
  • Once registered, you can read 3 articles a month
  • Sign up for our newsletter
Please
or
to read this article.

Related articles

Reader's comments (2)

The problem with redistributing income from 바카라사이트 levy is that those institutions that have done 바카라사이트 legwork to build an international reputation and create programmes thatare competive internationally [both of which require non-trivial effort] will end up subsidising those institutions that are unable tor unwilling o operate at that level. This helps nei바카라사이트r party and in 바카라사이트 longer term will add imbalances and instabilty to an already brittle system.
This is ra바카라사이트r an elitist view of 바카라사이트 UK higher education system. I thought we were all about diversity and inclusivity, enabling our students and fellow academics? I thought, in 바카라사이트 face of difficult times, we, as a body, were all showing solidarity in defending 바카라사이트 system. Personally, I would ra바카라사이트r that 바카라사이트 money was spent by 바카라사이트 government on 바카라사이트 priorities if 바카라사이트 sector ra바카라사이트r than 바카라사이트se funds being channelled into enhanced senior management pay and 바카라사이트 notorious 'white elephant' projects VCs seem to be so enamoured with. At least, 바카라사이트re would be so accountability as to how such income is spent within 바카라사이트 sector?

Sponsored

Featured jobs

See all jobs
ADVERTISEMENT