The number of Indian students enrolling at British universities has dropped by 20 percent, according to the latest report by the UK higher education regulator, the Office for Students. This decline comes amid a broader fall in international student numbers, raising significant concerns about the financial stability of the sector, which heavily relies on higher fees paid by international students.
The report, published on Nov.16, revealed a decrease from 139,914 Indian students in the 2022-23 academic year to 111,329 in 2023-24, a drop of 28,585 students (20.4 percent). Nigerian student numbers fell by 44.6 percent, and Bangladeshi students saw a decline of 41.2 percent. Overall, there was an 11.8 percent decrease in "Confirmation of Acceptance for Studies" granted to international students between 2023 and 2024.
The recent UK riots, poor job prospects, and restrictive immigration policies have been cited as reasons for the decline in Indian student numbers. Amit Tiwari, president of the Indian National Students Association UK, highlighted that many Indian students are now turning to alternative destinations such as Germany, Ireland, the US, and the Middle East.
"Declining interest from India is due to master's students not being allowed to bring partners, the economic conditions in the UK, and recent rioting stories," Tiwari said. "Unless the UK government addresses this, the outlook for UK universities is bleak as they rely heavily on Indian students."
Sanam Arora, founder and chair of the National Indian Students and Alumni Union UK, added that government policies are discouraging students. "The Conservative Party ban on dependents, confusion around the post-study work visa, an increase in skilled worker salary thresholds, and an apparent lack of jobs in the UK are driving students elsewhere. For the first time, safety is also being raised as a concern."
The decline in international students is expected to have far-reaching consequences for UK universities. The report estimates that by 2025-26, annual income for universities will fall by USD$3,587,402.31 (£3.4 billion), with the sector facing a total deficit of USD$16,850,406.31 (£16 billion). As a result, 72 percent of universities could face financial deficits, and 40 percent may struggle with low liquidity.
Many universities, particularly those dependent on postgraduate courses and international student fees, are at risk of course and campus closures. Increased employer national insurance contributions and lower-than-expected recruitment of UK undergraduates are also contributing to the financial challenges.
The report underscores the urgent need for policy reforms to attract and retain international students, particularly from key markets like India, to prevent further strain on the UK education sector.
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