Long-awaited details of the mooted levy on international students at English universities – due to take effect in 2028 – were released with Rachel Reeves’ Budget earlier this week to a largely negative reaction from international education stakeholders.
Instead of the expected 6% tax on international student income suggested in the immigration white paper, the Treasury is instead consulting on a £925-per-international-student flat fee.
However, under the proposals, each provider will receive an allowance covering their first 220 international students each year – meaning that many small or specialist institutions will be spared the tax.
But larger institutions with higher numbers of international students will bear the brunt of the levy.
HESA data from the 2023/24 academic year – the most recently available figures – gives an indication of which providers could be worst hit by the levy, although enrolment numbers may have changed since then and could shift dramatically before the policy finally comes into effect.
London is the region set to be most impacted by the levy, with England’s capital welcoming the most international students. Meanwhile, the North East had the fewest.
Here’s our round up of the top five institutions that risk losing out the most.
University College London (UCL)
Of the 614,000 international students at English institutions in the 2023/24 academic year, UCL was home to the largest amount, at 27,695.
Under the proposals, if UCL had the same number of international students under the levy, it would be liable to pay over £25 million.
The University of Manchester
Coming in second is the University of Manchester, which had 19,475 international students in 2023/24. This would mean it would have to pay almost £18m under the levy proposals.
The University of Hertfordshire
In third place is the University of Hertfordshire, with 19,235 international students in 2023/24 – a levy amount of just over £17.5m.
Kings College London
Up next is Kings College London, with 15,850 international students, meaning it would be taxed a little under £14.5m
The University of Leeds
Another large metropolitan university set to be hit hard by the levy is the University of Leeds, with 15,605 international students. If enrolments numbers stay the same into 2028, it could face costs of over £14.2m.
