International Students

Why are international business students important to business schools and the UK as a whole?

International business students help to create a global culture on campus, enhance the UK's soft power abroad, and make vital financial contributions to universities and the economy through their student fees, off-campus spending, and related job creation.

Approximately one in three of all international students in UK universities study in a business school. There are 237,035 international business school students from outside the EU studying in the UK. This increases to 251,520 when including students from the EU. 91% of full-time postgraduates on business courses are international students from outside the EU.

Based on estimates from HEPI the 2021/22 cohort of international students in UK business schools will contribute £6.4bn in off-campus spending during the period of their studies (this does not include tuition fees which generate a substantially higher economic impact), an increase of 42% compared to the 2018/19 cohort.

Our members' views on current policies

• We believe that a visa system that ensures that the right students come to the UK for the right reasons will result in better outcomes for the economy and society overall. 

   

• The proposals in the Immigration White Paper announced in May 2025 will be deeply damaging for the sector and run counter to the Government’s growth mission and we would now like to see policy stability until the end of this parliament.

The Graduate Route post-study work visa is essential to the global reputation and competitiveness of the UK’s higher education sector   

• We are concerned that the reduction in the Graduate Route visa from two years to 18 months as announced in the Immigration White Paper in May 2025 will impact the ability of universities to recruit international students to the UK so they can continue to generate the income vital to the continuation of many courses which also benefit UK students. The vast majority of international students need to have the opportunity to work in the UK to re-pay the loans they have taken out to study here. 

• There is an urgent need for policy stability and there should be no further changes to the Graduate Route to ensure that this critical part of the study visa system continues to attract international talent for universities and the wider economy. 

Skilled Worker Salary Thresholds 

• We are concerned about the proposal in the Immigration White Paper of May 2025 to increase salary thresholds for the Skilled Worker Visa and the removal of the immigration salary list which gives the higher education sector discounts from salary thresholds.  

• This will limit the opportunities for international graduates to switch from the Graduate Route to the Skilled Worker Visa, making the UK less attractive to prospective students and shrinking the pool of highly skilled talent essential for economic growth. 

• The 32% increase in the Immigration Skills Charge will also significantly raise the cost of recruiting international talent at UK universities and coupled with the removal of discounts for the higher education sector will result in a loss of talent for UK universities. We therefore request the Government provide concessions for higher education. 

• PhD graduates, early career researchers, and new graduates should be exempt from the Skilled Worker route salary thresholds.  

International Student Levy 

• The proposed levy on higher education provider income earned through international tuition fees will place an unwelcome strain on university finances, which are already under significant pressure, with estimates prior to the announcement suggesting a potential £1.1 billion loss in university income.  

• The lack of clarity around how the funds from the levy will be redistributed into higher education, and which body will be responsible for redistributing these funds, is concerning.  

• We strongly urge the Government to consult extensively on this proposal. 

Basic Compliance Assessments  

• The Government’s proposals to tighten the compliance measures required of higher education providers who sponsor international students will be severely damaging for the recruitment of international students which provide vital income to business schools and universities. 

• We urge the Government to consult with the sector in the implementation of these stricter metrics and ensure there is a lengthy transition time for universities to adapt to the new measures.  

Student dependents ban  

• The ban on visas for dependents has detracted prospective international students from deciding to study in the UK.  

• We actively call for a wider consultation by the Government on possible exemptions to the ban on visas for students’ dependents to enable the UK to attract talented international students whilst not increasing immigration numbers significantly. 

• There are a number of additional routes through which international students should be able to bring their dependents to the UK on a time-limited basis for the duration of their period of study:  

  • Highly skilled and talented post-experience post graduate taught students who are typically mid-career 

  • Students who come to the UK on corporate sponsorships  

  • Students who are coming to the UK as part of a transnational education programme that involves study in both the UK and their home country 

  • Students who have demonstrated financial capacity through an escrow system or are participating in a postgraduate taught programme that charges at least £30,000 and comes with a university verification of paid in advance accommodation, schooling and healthcare for the student and dependents 

Data on international students in UK business schools

Our analysis shows: 

• There are 237,035 international business school students from outside the EU studying in the UK.

• 36% of all non-EU students studying in the UK are on a business course.

• 41% of all non-EU postgraduate students studying in UK universities are studying in business schools.

• 18% of undergraduates studying business are from outside the EU. This increases to 21% when EU students are included.

• 91% of full-time postgraduates on business courses are international students from outside the EU. This rises to 93% when EU students are included.

• Our  Annual Membership Survey in 2024 uncovered signs that the international student market is increasingly challenging for UK business schools.

• For international students, three-quarters of the responding Deans stated that enrolments were lower in 2024/25 than in the previous year, of which half said they were significantly lower.

• For the recruitment of international postgraduate students, 100% of the business schools reported that their parent university was to some extent reliant, indicating that UK universities remain heavily reliant on the income generated by business schools.

• Our survey on international student enrolments for courses starting in January 2025 found that 58% of the responding schools saw lower enrolments than in January 2024.