The University of York is facing a £15m budget adjustment following a sharp decline in international student applications for entry in September 2025.
International students currently make up 22% of the University of York student population, though the Vice Chancellor, Charlie Jeffery, has warned that the University is seeing a sharp decline in applications for the next academic year.
Jeffery warned that the significant decline in applications means that the University is now facing “a new and additional challenge” following an already difficult financial period for the institution.
The drop in applications is caused by increased UK visa fees and restrictions introduced by the UK government, weakening currencies in countries including India and China making UK study more expensive and competition from lower-cost alternatives in regions such as Hong Kong and Malaysia.
In an email sent to staff on 12 February 2025 Vice Chancellor Charlie Jeffery acknowledged the failure of the current funding system and the need for immediate change.
Jeffery said: “We are, in effect, charting our way out of a broken model.
“The mix of income sources that has supported the work of research-intensive universities, like York, has broken down.”
The University aims to address the £15m financial shortfall for the 2025/26 academic year through a combination of income growth and cost savings.
Plans include increasing home undergraduate numbers, expanding commercial and research income and developing global education partnerships.
The University will also review operating costs and explore collaborations with other institutions to cut expenses.
Additional staff cost savings will also be required and targeted voluntary severance schemes and other cost-reduction measures such as flexible retirement are being considered. The University has stated that no academic or professional service departments are set to close.
The Vice Chancellor’s announcement comes after experts have warned UK universities to consider a world without international students.
York SU Union Affairs Office Lewis Parrey said: “Since the start of our terms, Sabbatical Officers have raised our concerns on multiple occasions around the University’s over-reliance on international students for its economic recovery.
“The University’s conversations around financial recovery last semester were focused almost entirely on international recruitment with no plan B.
“Our concerns were not taken seriously and now we are in an even more difficult situation.”
UK Universities have been told to prepare for a future where international students do not make up a significant part of the UK student population despite currently making up 26% of the UK student population.
David Pilsbury, Chief Development Officer at Oxford International Education Group said: “Do not think that world-class higher education delivered in the UK means that we have a God-given right to continue to be a top recruiter.”