Dozens of UK universities at risk of insolvency amid lower-than-expected international enrollment – VnExpress International

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Dozens of UK universities at risk of insolvency amid lower-than-expected international enrollment

Seven of these schools have over 3,000 students each, according to a report on higher education and university funding published by the UK House of Commons earlier this year

Around 124 institutions are projected to run budget deficits in 2025-26 unless they implement measures to mitigate financial risks, the report said

The financial strain on universities is attributed to lower-than-expected student enrollment, particularly among international students, and rising costs, high debt levels and intense competition

Data showed that international student enrollment, which generates substantial tuition fee income, grew by just 6.3%, below the projected 8.6%

Many universities have cut staff, closed courses, frozen hiring and sold assets. The government has yet to establish a clear process for dealing with universities on the brink of insolvency, prompting calls from the cross-party House of Commons Education Committee for one to be put in place

There is currently “no clearly understood protocol for how the government might respond to a situation of a provider at risk of imminent insolvency,” the report said

The latest Home Office data shows that 8,900 international students applied for study visas in April, down 40% from a year earlier. Applications in the first four months of the year totaled 38,800, a 33% year-on-year drop

A survey conducted by education organizations NAFSA, Oxford Test of English and Studyportals also found that 42% of the 24 UK universities surveyed reported a year-on-year decline in international student enrollment in the first quarter. The figure rose to 65% for postgraduate programs

Experts believe the UK’s appeal as a study destination has declined due to a series of policy changes, including higher student visa fees and a shorter post-graduation stay period for international students

The UK had around 2.8 million students in the 2024-25 academic year, including approximately 685,000 international students, including around 3,700 from Vietnam, according to the Higher Education Statistics Agency

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Source: e.vnexpress.net