International students enhance the UK economy

As the United States and China dig further in their trade war, UK universities have an opportunity to thrive – and some are doing just that. A recent article in the Financial Times reported “double-digit percentage year-on-year increases” for leading business schools such as Warwick Business School and London’s Cass.

Why is this important? Firstly, the short and medium-term income provided by international students is essential to keep our universities running. Secondly, the “soft power” benefits which accrue to any country who can provide a safe, happy and successful experience for an international student are often tangible.

The average annual fee for international students at UK universities is £12,000 – although factors such as the subject and

length of the course will have a big impact on the price finally paid by the student. With living costs and renting accommodation the bill for a degree from a UK university for an international student is high. Should they choose to work part time yet more revenue – this time in output and tax – will flow to UK plc. The sector is a golden goose – we should recognise what we have and seek to protect it by keeping the quality world-class.

The point relating to soft power requires a longer-term outlook. Take, for example, the head of China’s top education company, New Oriental, who recently asked us to include the University of St Andrews on our UK tour – specifically because she had such happy memories there from her time as an undergraduate. One thousand students on our tour visited St Andrews’ gothic campus, watched enthusiastic golfers on the 1st at the Old Course, and played their own mini Highland games on the West Sands – some even experienced sunshine. International students help keep our campuses diverse and enable students to develop global networks.

Negative vibes flow from the US administration through leading social media chanmore nels in China such as Wechat and Weibo, giving the distinct impression that the US is now a much less welcoming place to study. China’s Ministry of Education recently fired back in response to Trump’s bellicose rhetoric, encouraging students to “strengthen [their] risk assessment” in the context of overseas study. The prospect of starting, but being unable to finish, a degree would be hugely off-putting for students and their parents. Only 2 per cent prospective students now identify the US as their preferred country versus the UK – a gap narrower than it has been for many years. This is hugely significant.

As with any sector of the economy, the impact caused by the saga-that-beginswith-b requires careful consideration. But unlike, say, motor manufacturing, perhaps higher education can pivot more swiftly, such as seeking to replace reduced student volume from EU countries with increased numbers from Asian countries.

Many Scottish universities have well developed relationships abroad, with some relying on a network of agents to communicate to the local population of prospective students. The University of Edinburgh – whose well-regarded principal Peter Mathieson joined from Hong Kong University – has five global centres as part of its strategy to build “deep, long-term partnerships with foreign governments and businesses”, according to its head of Edinburgh Global, Alan Mackay.

Other than the US and UK, only Australia and Canada have attracted significant numbers of international students. Countries in Europe, for example the Netherlands, are now teaching in English – and charging much lower fees. As a sector we must recognise that it will be increasingly competitive to attract international students to our shores.

However, there are opportunities. As the superpowers continue to squabble through their trade war – weakening both countries – the soft powers must position for maximum benefit. Britain should roll out the red carpet. ● Nick Scott, founder and MD, Visit University.

The sector is a golden goose – we should recognise what we have and seek to protect it