Source · Select Committees · Public Accounts Committee
Recommendation 17
17
The Department described the responsibility for maximising international student participation as being a shared one...
Conclusion
The Department described the responsibility for maximising international student participation as being a shared one between government as a whole and individual institutions. We expressed concern about potential tensions between the aims of the Department, along with the Department for Business, Energy and Industrial Strategy, to see more students coming from overseas and the efforts of the Home Office to control migration. The Department told us that it worked closely with the Home Office on visa arrangements to ensure that overseas students can come and study and also have opportunities after studying. It explained that it also worked with the Department for International Trade to ensure that education opportunities were included in wider trade discussions including, for example, by sending university delegations.33 The impact of disruption to A-level assessments
Government Response
Not Addressed
HM Government
Not Addressed
4: PAC conclusion: We are concerned that the financial sustainability of some providers is being put at risk by their heavy dependence on their ability to continue growing overseas student numbers. 4: PAC recommendation: The Department, drawing on OfS analysis as appropriate, should set out what it considers to be the risks to achieving the continued forecast growth in overseas student numbers universities are relying on for their future financial security, and explain how it is mitigating those risks. 4.1 The government agrees with the Committee’s recommendation. Recommendation implemented 4.2 The department recognises that the financial sustainability of the higher education sector depends on the continuing contribution made by income from overseas students, if not necessarily on the growth trend as currently forecast. Many factors affect overseas students’ decisions about where to pursue higher education, ranging from geopolitical developments, through public health issues, to students’ behavioural changes. No government could mitigate the full risk of such factors, but through the International Education Strategy (IES) and the 2021 update, the government has established a thorough approach to promoting higher education to overseas students and mitigating risks associated with providers’ dependence on overseas fee income. 4.3 The IES is committed to growing the value of education exports to £35 billion and to hosting at least 600,000 international higher education students in the UK per year by 2030. The international students ambition of 600,000 was met for the first time in 2020-21, with over 605,000 international students studying in the UK. 4.4 The IES sets out the government’s ambition to enhance the entire international student experience, from application to employment. It also makes clear that the diversification and sustainable recruitment of international students remains a key strategic priority for the sector. 4.5 It is a matter for higher education providers, as autonomous bodies, to forecast sensibly when planning for their financial sustainability. The OfS monitors this, including reviewing forecasts for optimism bias amongst providers. The department and the OfS continue to work closely together in considering financial risks facing the sector. Updated analysis of those risks will continue to inform departmental strategy.