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Dundee University chief fears immigration rule changes could risk funding chaos

A new report has found no evidence of widespread abuse of the system of post study work visas for graduates.

Professor Iain Gillespie, principal of Dundee University. Image: Supplied
Professor Iain Gillespie, principal of Dundee University has written to staff warning them of a potential £30 million budget deficit. Image: University of Dundee

Dundee University principal Professor Iain Gillespie has urged the UK Government to re-think restrictions on student immigration.

It comes as a new report recommends the country retains the current rules which grant university graduates a two-year work visa.

The home secretary requested the government’s Migration Advisory Committee (MAC) to review the graduate rules, with the report saying there was “no evidence” of widespread abuse.

But the Conservative government in Westminster has committed to driving down immigration numbers, with new rules barring international students from bringing dependents to the UK.

Professor Iain Gillespie, who is convener of Universities Scotland, the umbrella body representing Scottish higher education, has now urged the government to maintain the current rules.

Rishi Sunak has pledged to cut international student numbers. Image: PA

He said: “The MAC’s independent review is clear; the graduate route should remain in its current form.

“In answering the UK Government’s concerns, the MAC has found no evidence of abuse and no suggestion that the integrity of the higher education sector has been compromised.

“Even more positively, beyond the benefit the route brings to universities and students, the report makes clear the graduate route visa is working for the UK economy.”

Concerns for university funding

There are concerns across the sector that if international students numbers decline, university funding would face significant strain.

It is a concern echoed by the Dundee University principal, who added: “Having an internationally competitive post study visa is absolutely fundamental to the financial viability of Scotland’s universities.”

“The MAC is clear that if it were removed or reformed it would create an immediate and colossal funding problem across the UK.

Graduates are able to access a two-year post study work via under the current system. Image: Steve Brown/DC Thomson.

“That challenge would be even greater in Scotland, as the MAC’s evidence highlights a greater reliance on international fees to cover domestic costs.”

While Scottish students study for free, universities can charge international students.

International students net Dundee University £78m

To study medicine in the City of Discovery, international students can expect to pay over £52,000 a year.

In 2022/23, international students’ tuition fees were worth £78m to the University of Dundee, around 24% of the institution’s income.

Labour insiders have indicated previously they fear this could become a “poison pill” for a potential future government led by Sir Keir Starmer.

Professor Gillespie. Image: Supplied.

There are also concerns about the wider impact on the economy, particularly in cities.

Dundee City Council leader John Alexander, speaking in his role as chair of Scottish Cities Alliance, said international students and graduates had an “overwhelmingly” positive impact of Scotland.

“Their diverse skills and talents enrich our city economies and offer solutions to demographic challenges and skill shortages.

“Importantly, they are the bedrock upon which we as city leaders aim to support our cities transition to net zero and embrace a tech driven future, tackle inequalities and increase productivity.

Graduate visa ‘economically vital’ to Scotland

“The graduate route visa, in its current form, is economically vital for Scotland and alongside Universities Scotland, the alliance partners would welcome ongoing dialogue with the UK Government on the role the visa has to play as part of bolstering the economic competitiveness of our cities and attracting new investment.”

A UK Government spokesperson said: “We are committed to attracting the best and brightest to study at our world-class universities, whilst preventing abuse of our immigration system, which is why the Home Secretary commissioned an independent review of the graduate route.

“We have already taken decisive action to address unsustainable levels of migration and our plans are working, with a 24% drop in visa applications across key routes in the first 3 months of this year, compared with the same period last year.

“We are considering the review’s findings very closely and we will respond fully in due course.”

Scottish migration minister urges Tory government to think carefully

Scottish Government migration minister Kaukab Stewart said: “Any move to restrict international students’ ability to stay in Scotland after graduation would be absurd in response to the report published today, particularly in light of the demographic challenges we face.

“The UK Government must now carefully consider the consequences of restricting the graduate route and the devastating impact this could have on Scotland’s higher education sector, our communities and our economy.”

Conversation