A crackdown on international students in Britain could harm struggling cities where universities are key to the local economy, according to the Centre for Cities thinktank. The Home Office is contacting tens of thousands of overseas students, warning they will be removed if they overstay their visas.
The thinktank said the impact would be felt more heavily in cities such as Leicester, Plymouth, Hull and Stoke-on-Trent, where universities play an outsized role in supporting jobs and economic activity compared with more prosperous university towns like Oxford and Cambridge. Higher education is among the top 10 export sectors in most cities with universities.
Many UK universities are under financial strain, with several millions of pounds in deficit and some at risk of collapse. Dundee University has received up to £40m in emergency support from the Scottish government. The sector has become increasingly reliant on international students, who now contribute about a quarter of total income, up from 5% in 1995.
However, this income is being threatened by restrictions on dependents, a proposed limit on graduate visas, and a levy on international student fees. Andrew Carter, chief executive of Centre for Cities, said national reforms that weaken the sector could cut across the government's growth ambitions.
A government spokesperson said the report highlights the value of universities and international students. They noted that the government is exploring a levy on international student fees to reinvest in higher education, and has increased tuition fees for the 2025/26 academic year to help put universities on a secure financial footing.
