UK universities have rejected claims that international students are receiving billions of pounds each year through the UK student finance system, following proposals from Reform UK to restrict access to student loans for foreign students.
Reform UK has proposed preventing what it describes as “foreign students” from accessing taxpayer-funded student loans. The party has argued that the change could generate substantial savings, with those funds potentially redirected towards expanding apprenticeship opportunities for British businesses.
However, Universities UK has challenged the basis of those claims, stating that most international students studying in the UK are not eligible for government student finance.
According to Universities UK, eligibility for UK student finance is generally limited to specific groups with qualifying immigration or residency status. International students who do not meet those requirements normally have to fund their studies through other means.
The organisation has also highlighted that some students who may be described as international students can qualify for financial support because of their immigration or residency position. This can include certain individuals with indefinite leave to remain or EU settled status.
Irish students are also eligible for UK student finance under the relevant arrangements. Data from the Higher Education Statistics Agency shows that around 9,800 students from Ireland were enrolled at UK universities in the 2024/25 academic year.
The debate comes as the UK continues to consider changes to the way international education is funded and regulated. The government has announced plans for a levy on international student tuition fees at English universities, expected to begin in 2028. The proceeds are intended to support maintenance loans for domestic students from disadvantaged backgrounds.
Universities UK has also defended the wider economic contribution made by international students. The organisation argues that international student fees provide financial support for universities, contribute to research activity and create wider economic benefits across towns and cities.
The latest dispute adds to continuing political and policy discussions surrounding international students, university funding and access to student finance in the UK.
