Big drop in overseas students at Scottish universities

Glasgow is a popular destination for Chinese overseas students, with more than 6,000 studying on its campus

The number of overseas students at Scottish universities dropped by more than 10,000 last year, new figures show.

The decline comes after foreign student numbers reached an all-time high in the previous year, making their tuition fees an important source of funding for universities.

The latest figures from HESA (Higher Education Statistics Agency) show there were 73,915 students from outside the UK, down 12% from 83,975 the year before.

The statistics also show there were 173,795 students from Scotland at Scottish universities.

The number of European Union students in Scotland fell by half as Britain left the EU in 2019 and it has continued to fall in the current figures, down to just 10,430.

Meanwhile, the share of foreign students had been rising from one in 20 in the 1990s to more than one in four in recent years.

The largest number of overseas students in Scotland is from China.

It fell from 19,000 in 2022/23 to 17,565 last year.

Students from India fell from 12,235 to 9,950 and Nigerian students dropped from 9,415 to 5,985.

The number of students from Pakistan increased from 5,075 to 5,540

Dundee University, which recently announced a £35m black hole in its finances, saw a 27% drop in international students - down from 4,570 to 3,335.

The University of Glasgow saw a 15% drop in overseas students, down from 15,200 to 12,935.

The biggest drop was Robert Gordon University in Aberdeen where the number of overseas students almost halved, down to 2,365.

However, the University of Edinburgh, which has also announced financial shortfalls, managed to increase its number of overseas students last year from 16,625 to 17,020.

Why does Scotland need overseas students?

Scottish students get "free tuition" at Scottish universities which means undergraduates do not have to pay fees for their courses if they can secure one of the limited number of places.

However, universities have long claimed that the money it receives from the Scottish government has not kept pace with inflation and is less per student than similar institutions in England get from tuition fees.

Scottish universities, like most in the UK, have been on a recruitment drive to draw in students from other parts of the world, charging them much higher fees than UK students – from about £10,000 up to £40,000 per year.

For those with a prestigious reputation, including Scotland's older universities, the share of foreign students has risen to close to 40%.

This has brought controversy - about the quality of learning, standards of English language ability, and the surge in demand for student accommodation.

It has also brought vulnerability if the demand for places falls away.

A growing concern about universities, including Glasgow and Edinburgh, becoming too dependent on Chinese students saw recruitment shift to other countries.

Nigeria was one new target, encouraged by the UK government.

But the market there depends on the strength of the Nigerian currency, which fell sharply and cut off the number of people who could afford to come to the UK.

Other factors, such as tighter visa restrictions and stronger competition from other countries, have led to further falls.

Dundee has been hit hard by the falling numbers

Earlier this week, a senior Dundee University figure told MSPs that insolvency was a "real possibility" as the institution attempts to tackle a £35m funding black hole.

Acting chair of court Tricia Bey said without forthcoming financial support from the Scottish Funding Council (SFC) the university will run out of money by the end of June.

Last week, the university announced that 632 jobs would be cut, about one-fifth of the workforce.

It said that factors including a "severe drop" in international student recruitment and an increase in National Insurance contributions were to blame for the deficit.

However, it added that internal factors including "inadequate financial discipline and control" and "poor capital planning and investment decisions" had also contributed to the situation.

The University and College Union (UCU) Scotland said staff were being made to pay the price for "egregious management failure".

Edinburgh University also plans £140m of cuts to tackle severe financial difficulties.

The university's principal and vice-chancellor, Prof Sir Peter Mathieson, said in a message to staff that "radical action" would be needed to ensure a "sustainable reduction" in costs to help the institution cope with falling income and higher bills.

The drop in income was partly blamed on a lower number of international students coming to the UK.

The Scottish government said international student numbers had seen a decline following changes by the UK government to the immigration system, such as ending the inclusion of family members on student visas.