Brexit: Universities warn no deal is 'biggest-ever threat'

4 January 2019

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Universities say that UK research in science and medicine will be harmed by a no-deal Brexit

By Sean Coughlan

BBC News education and family correspondent

University heads are warning a no-deal Brexit is "one of the biggest threats" the institutions have ever faced.

Higher education leaders have written to MPs to say it is "no exaggeration" to warn that it would take universities "decades to recover".

They say it would undermine scientific research and threaten universities' £21bn contribution to the UK economy.

The government has said its immigration plans will keep universities "open to the talent we need from Europe".

A joint letter sent to all MPs on behalf of the heads of 150 UK universities says: "Vital research links will be compromised, from new cancer treatments to technologies combating climate change.

"The valuable exchange of students, staff and knowledge would be seriously damaged," adds the letter from university groups including Universities UK, the Russell Group, Guild HE, Million Plus and University Alliance.

Funding threat or fearmongering?

Dame Janet Beer, president of Universities UK, warned "time is running out".

She says that without "cast-iron assurances" about the UK's access to European research networks, world-leading researchers will be lost to other countries where "funding is not at risk".

But the journalist and educationalist Toby Young, who says he backs a "clean Brexit", dismissed the warning as "the usual ultra-Remainer hysteria", accusing vice-chancellors of "fear-mongering".

"In the event of a no-deal Brexit, I'm sure the government will use some of that £49bn windfall to compensate British universities for any short-term losses," said Mr Young, associate editor of the Spectator magazine.

Quick guide: What is a no-deal Brexit?

A "no-deal" Brexit is where the UK would cut ties with the European Union overnight without a transition period.

Theresa May's government, and many others, believe this would be hugely damaging and want a more gradual withdrawal. But if Parliament can't agree on that, and nothing else takes its place, the UK could still leave without a deal.

This would mean the UK would not have to obey EU rules. Instead, it would need to follow World Trade Organization terms on trade. Many businesses would see new taxes on imports, exports and services, which are likely to increase their operating costs. That means the prices of some goods in UK shops could go up.

The UK would also lose the trade agreements it had with other countries as a member of the EU, all of which would need to be renegotiated alongside the new agreement with the EU itself.

Manufacturers in the UK expect to face delays in components coming across the border.

The UK would be free to set its own immigration controls. However some UK professionals working in the EU and UK expats could face uncertainty.

Some countries, such as Spain, Germany and the Netherlands, have given temporary guarantees about residency status and rights, but there is not yet an agreed policy for UK citizens across the EU in the event of a no-deal Brexit.

The situation for holidays and business trips is a little clearer, as the European Commission has said that even in a no-deal scenario, UK travellers won't need a visa for short visits of up to 90 days.

The border between Northern Ireland and the Irish republic would become an external frontier for the EU with customs and immigration controls, though how and where any checks would be made is not clear.

Some Leave supporters think that leaving without a deal would be positive if the right preparations were made. They say criticism is scaremongering and any short term pain would be for long term gain.

But critics - including both Brexit supporters and opponents - say that leaving without a deal would be a disaster for the UK: driving up food prices, leading to shortages of goods and gridlock on some roads in the South East resulting from extra border checks.

The Russell Group of leading research universities says there has already been a downturn in EU students wanting to study in the UK.

Data from its 24 universities shows a 3% fall in EU students in the current intake - which they believe is because of uncertainty over Brexit.

'Unrealistic and unsustainable'

The letter warns MPs of the dangers to the UK's universities if they lose their place in European research networks.

It gives two examples of funding at risk - the European Research Council and Marie Sklodowska-Curie Actions - which would be worth £1.2bn to UK institutions over the next two years.

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The UK has been among the biggest winners from EU research funding

University leaders say that in the event of a no-deal Brexit, UK institutions would "immediately become ineligible" for this funding.

After next year, there is a wider pot of European research funding at stake, worth more than £90bn.

Universities want assurances that any lost research funding will be replaced by the UK government.

But they are also worried by proposals for new restrictions on EU students after Brexit in the government's White Paper on migration, published before Christmas.

These 130,000 EU students will need to have visas and be sponsored by universities - and the Russell Group has warned that it is "unrealistic and unsustainable" to expect universities to take on the administrative burden.

'Light-touch' system

If there is a no-deal Brexit, the Russell Group says the uncertainty behind the fall in EU students coming to the UK "will only get worse".

This adds to fears about the financial sustainability of some universities in England - with warnings that those unable to attract enough students and their tuition fees could become unviable.

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Nick Hillman, director of the Higher Education Policy Institute, says the negative impact of Brexit could add to the risk of some universities getting "close to the wire this year".

This could mean takeovers, mergers or bailouts, rather than closure, he says.

The government has promised to continue to welcome overseas students after Brexit, with a streamlined, "light-touch" visa system, with no limit on numbers.

There will be incentives for overseas students, such as making it easier for them to stay and work in the UK after graduation.

There is also a commitment to underwrite funding from existing EU research projects.

A government spokeswoman said: "Science recognises no borders and the UK has a proud record of welcoming the world's leading scientists and researchers to work and study here. This will not change when we leave the EU.

"Through our modern industrial strategy we are investing the highest ever level in research and development in UK history and we are committed to seeking an ambitious future relationship on science and innovation with our EU partners."

Funding threat or fearmongering?

'Unrealistic and unsustainable'

'Light-touch' system

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