Several UK universities are facing financial challenges, considering job cuts and course reductions due to a significant decline in international student enrollments, particularly from Nigeria and India.
Gatekeepers News reports that the drop is linked to recent UK government reforms and economic difficulties in these countries.
According to reports, about 15 universities are contemplating cost-saving measures, with some considering job cuts and courses being scrapped to save money.
This follows the UK government’s introduction of reforms aimed at curbing “rip-off” degrees and ensuring student visas are used for education, not immigration.
University leaders have expressed concerns about potential bankruptcies, with one in ten universities already cutting staff this year. The situation has led to fewer teaching staff, lower quality, and fewer options for students as universities try to reduce costs.
Tuition rates have effectively been unchanged for more than a decade, and with most colleges now losing money on domestic students, they have offset their losses with international students who pay significantly more.
Over the last four years, numbers have increased by 60%, reaching 560,000.
The decline in international student numbers is particularly pronounced from Nigeria, where applications have dropped by 71%. Indian students are also being deterred by visa restrictions. These challenges have led to a 37% decrease in overseas recruits for the upcoming academic year.
The economic crisis in Nigeria, coupled with visa restrictions in India, has contributed to the decline in student numbers from these countries. Universities are now facing tough decisions to offset their losses, including discontinuing courses and laying off academic staff.
John Rushforth, executive secretary of the Committee of University Chairs, said:
“I’ve been in higher education for 30 years and senior leaders are more worried than I’ve ever seen them.”
“…bankruptcy is a realistic possibility for some institutions and universities are having to do really difficult things to stave that off.
“Taking fewer British students is a last resort but if you’re making a loss on something people have to consider it. Everything has got to be looked at because the situation is so serious.
“Universities have to think hard about what they want to protect and make choices about divesting themselves of things that are not core to the institution. There will be less choice for students. A lot of institutions have introduced lots of modules so that students can pick and choose. That’s expensive, so it may be that you go back to more generic courses.
“Fundamentally, either you have to increase income, or you reduce quality or volume.”
A spokesman for North Umbria University said:
“The university’s financial position was very strong but the current financial outlook is weaker than anticipated.
“This is a consequence of a combination of fixed home undergraduate fees, difficulties around recruitment of international students, and the ongoing impact of inflation.”
Rachel Hewitt, chief executive of MillionPlus, the group for newer universities, said:
“The economic crisis in Nigeria presents difficulties for any university seeking to recruit from that country”
“The existing tuition fee model coupled with high inflation has seen their income fall year on year, meaning institutions have to make difficult choices and do more with less”.
She also blamed ministers, saying:
“It is impossible to imagine the government going out of its way to make Britain less inviting to investment in almost any other sector and yet every negative headline and policy reform that makes Britain less attractive to international students damages both the higher education sector and UK plc.”
Overall, the situation highlights the financial strain universities are facing as they grapple with reduced international student numbers and the need to adapt to changing government policies.
