PARLIAMENTARY DEBATE
Tuition Fees: EU Students - 29 April 2019 (Commons/Commons Chamber)
Debate Detail
Over the weekend, the media reported on a leaked Cabinet document discussing Government policy on EU student access to finance products for the 2020-21 academic year and beyond. At this time, I want to tell the House that no decision has yet been made on the continued access to student finance for EU students. Discussions at Cabinet level are ongoing and should remain confidential. I will make no comment on this apparent leak, which is deeply regrettable.
Students from the EU make a vital contribution to the university sector. It is testament to the quality and reputation of our higher education system that so many students from abroad choose to come and study here. As I stated earlier, since 2017 EU student numbers are up 3.8% and non-EU student numbers are up by 4.9%. In July 2018, we announced that students from the European Union starting courses in England in the 2019-20 academic year will continue to be eligible for home fees status, which means that they will be charged the same tuition fees as UK students and have access to tuition fee loans for the duration of their studies. Applications for students studying in academic year 2020-21 open in September 2019 and the Government will provide sufficient notice for prospective EU students and the wider higher education sector on fee arrangements ahead of the 2020-21 academic year and the subsequent years, which, as I have just stated, will obviously reflect our future relationship with European Union and the negotiations on that going forward.
At a time when the finances of universities are a matter of increasing concern, what impact will these changes have on the sustainability of our institutions? This issue should concern us all. International students make a net contribution to the public finances of tens of billions of pounds a year, so can the Minister tell us how much our public services will lose if fewer EU students come to study here, and how much education exports would fall by if EU students lost home fee status?
Only a month ago, the Secretary of State, along with the International Trade Secretary, launched an international education strategy. They said that education exports would reach £25 billion a year by 2030 and international student numbers would reach 600,000 by the same year. How can they publish this strategy one month, and then pursue a strategy that will undermine it the next? Does he still expect that 600,000 international students will come to the UK every year by 2030 if this rise in tuition fees is introduced?
Time and again, this Government have undermined our universities through their shambolic handling of Brexit. The future of Erasmus and Horizon 2020 are already in doubt, and now the very opportunities that we offer to young people from across the EU are being taken away. It is not in our interest to build walls between our world-class universities and our nearest neighbours, yet this Government are committed to doing exactly that.
We are determined when it comes to our universities and our EU student exchanges, and we have set out the international education strategy, which has the ambition of 600,000 extra international students by 2030, as well as setting an investment figure of £35 billion. [Interruption.] As the hon. Member for Ashton-under-Lyne (Angela Rayner) says—if she would not interrupt me—the economic importance of our higher education sector is reflected in the need to attract EU students and students from across the globe. That is the crux of the matter. We want to ensure that our nation is attractive internationally.
We have given commitments and guarantees regarding all successful Erasmus participations and regarding the Horizon 2020 science programmes, from which so many of our universities benefit. We made it a priority very early on after the referendum that we would set out the post-EU exit Government guarantee and the Government guarantee extension—that is, that we would fund the lifetime of these projects before Brexit if these applications were successful, and even post Brexit to December 2020.
We are drawing up our immigration system for January 2021 onwards. [Interruption.] The hon. Member for Wythenshawe and Sale East is again chuntering. Labour Members have called for an urgent question; either they want me to answer it or they do not. The point is that they are threatening a situation and claiming that we are somehow turning our backs to our European partners. That simply is not the case. With regard to our negotiations, I have spoken to about 15 European higher education Ministers. We need to make sure that we commit to them that Britain remains an attractive place for students from all nations across the world to come for work and to study. That is why we have established our international education strategy, why we have made the commitment on the guarantee, and why, rightly, we continue to work on our negotiations with the EU. If we had signed and passed a deal in this House, we would have had the certainty going forward to December 2020. Labour Members, with their Janus-faced—two-faced—approach, cast aspersions about the levels of uncertainty with regard to EU student funding when we would have guaranteed that funding for the next two years but they decided to vote against it. We need to work with universities globally to make sure that we raise our attainment. Our universities are world-class, with four in the world top 10 and 18 in the top 100. We want to support our universities. That is why we have published the international education strategy and why we want to work with them going forward.
Labour already offers students supposedly free tuition fees. Of course, there is no such thing as free tuition fees—they are paid for by the taxpayer, and this would cost the taxpayer an additional £12.5 billion. Labour’s additional policy, now, of saying that it would fund all EU students coming here to be able to study free of charge without having to pay back their tuition fees would cost at least £445 million a year. We have talked about magic money trees in the past—when it comes to Labour, it seems that we are talking about a magic money forest. We need to make sure that we have a fiscally responsible Government who look after our universities. That also means ensuring that we do not deceive our universities by claiming that we can spend money that we do not have.
It is not right that we should discriminate against our other international students. Does the hon. Member for Ashton-under-Lyne believe that we should offer a student finance package for European students once we have left the EU—a system that we have belonged to as members of the EU? Once we are no longer members of the EU, is it right that we then discriminate against Indian students or Chinese students? What does she say to them? How would she address the fact that her policy would discriminate against most of the students across the globe, at the same time as not having the money to be able to fund these student places?
The SNP recognises that our EU students are a national asset. As such, the Scottish Government have confirmed that EU students starting courses in Scotland in 2020 will continue to receive free tuition, because these young people across the EU are already planning where they are going to be studying in 2020. Can the Minister confirm when the fee status of EU nationals starting courses in England in 2020 will be announced? They must know this very soon, or we will lose them anyway. The European temporary leave to remain scheme will not suit many courses, as was mentioned in Education questions. Will he therefore work with the Home Office to ensure that his scheme matches a course rather than matches an idea that suits a very small number of students?
Contrary to the assertions of the Universities Minister earlier, the Higher Education Statistics Agency reports that after years of growth in EU student numbers, enrolments of EU students dropped for the first time last year. He must recognise that. We are already making the UK a less attractive place to study, and that is economically damaging. Although he is right to recognise the importance of international students, having EU students enables richer participation in schemes such as Horizon 2020. The Government have expressed enthusiasm to participate in the successor programme. How does he envisage that happening when our credibility in Europe has been undermined? Finally, the post-study work scheme has been economically and culturally beneficial to Scotland. When will the scheme be reintroduced for international students from the EU and further afield?
At the moment, we are keen to look at association to the successor scheme to Horizon 2020, Horizon Europe. That will begin later this year. The key point is that postgraduate tuition fees are separate from undergraduate tuition fees, and we do not want to do anything that will damage the potential of UK universities to research and continue with their research partnerships. [Interruption.] The hon. Member for Blackpool South (Gordon Marsden) seems keen to keep on chuntering from a sedentary position. He is welcome to make a contribution in a moment, but I am trying to answer the points made by the hon. Member for Glasgow North West (Carol Monaghan).
I welcome the hon. Lady mentioning that this is taxpayers’ money and that subsidy is involved. It is right that we consider how that subsidy is spent effectively. I urge caution that we do not simply send out a message that EU students happen to be unique. We want students from all parts of the globe—Chinese students, Indian students and students from the ASEAN countries—to be involved and raise their opportunity, and to send out a crucial message that when it comes to soft power, the UK will remain a global leader in higher education.
We are listening when it comes to the consultation on the immigration White Paper. We are listening when it comes to ensuring that we have a sustainable future with our relationship with the European Union. We are listening when it comes to working on our plans for future association with and participation in the International Science Council, including on making guarantees about Horizon 2020 and looking at association on Horizon Europe. It is right that the Government do this, in tandem with working across all Departments with a cross-Government approach to looking at how we exit the European Union, and I will continue to make sure that I play my role as Universities Minister in backing our universities.
“general principles, terms and conditions for the United Kingdom’s participation in Union programmes…in areas such as science and innovation, youth, culture and education”.
Do I take it from the reply the Minister has given this afternoon that the question of tuition fees—fees charged to EU students studying here in the UK and to UK students studying elsewhere in the EU—does not come within the terms of that wording, and that if that is the case, there is no bar to the Government choosing to increase those fees before any negotiations on the future partnership with the EU have even begun?
When it comes to Horizon and Erasmus, part of the reason why we find ourselves in difficulties is the uncertainty that there is without knowing whether we are in a deal or a no-deal situation. For all the Opposition Members talking about instability and the lack of certainty, it is on their backs that this is taking place. Those voting against the deal have prevented us from moving on to phase 2 of the negotiations.
We have made commitments on 2019-20 student finance, and we will shortly be making an announcement for 2020-21, ready for applications opening in September 2019. Obviously, any future financial obligations will be part of the spending review, and it is right that they are looked at by the Chancellor of the Exchequer.
When it comes to opportunities for UK students, it is worth noting that, yes, 16,000 UK students benefit from a European education—that is obviously part of the current system through the EU structures—but that contrasts with a total of 34,000 UK students who are educated internationally, in both EU and non-EU countries. We want to be able to grow that number as well. There is, however, a disproportionate impact on the number of UK students studying in the EU compared with the number of EU students studying in the UK. We would obviously wish to rebalance that and ensure that UK students have the opportunity to study abroad, both in the EU and outside it.
“fair and appropriate financial contribution”
and “fair treatment of participants”. Does my hon. Friend agree that the best way to help support our ongoing co-operation on science and students is to vote for the withdrawal agreement and firm up the details of our ongoing co-operation, as already agreed between the UK and the EU27?
I attended the EU Competitiveness Council on 18 February, and I talked to EU Ministers. They recognise the world-leading position of UK universities and that the UK does disproportionately well out of scientific grants. We put £4 billion into Horizon 2020, but we get £5.7 billion back. Why would we not want to continue to participate in that?
We are moving on to Horizon Europe as the next process of the scientific partnerships. I will attend the EU Competitiveness Council on 28 May as Science Minister. I will discuss with colleagues on the margins issues such as Erasmus education partnerships and exchanges, which the deal would also have protected. I urge all hon. Members to give me the opportunity to go to Brussels and get on with the next stage of the negotiations.
My hon. Friend is right about the international perspective. People voted to leave the European Union to ensure that Britain can be outward-looking, positive, not insular and not nativist. We want to be able to reach out to other countries and meet our responsibilities on the sustainable development goals. We want students from India and ASEAN—Association of Southeast Asian Nations—countries who want to come to the UK to study, but cannot at the present time, to have the opportunity to do so. Why should European students be given a disproportionate opportunity when it comes to fee levels? She has a valid point.
I am keen to expand opportunities that may not have existed before and to ensure that opportunities that were there previously are able to continue. I am sure that our international education strategy, as well as our international research and innovation strategies and the spending review—when it comes to looking at investments that we will need to make, that is obviously a critical part of the next financial framework—will have that international context in mind.
On the votes, when it comes to looking at the deal and the future economic partnership, I ask the hon. Lady to please, although it sounds like she will not—[Interruption.] Brexit is happening, and we need to ensure that we have—[Interruption.] Hon. Members seem to query that and suggest that they do not want it to happen, but I am afraid that is what the British people voted for. I am sure that when we, as a House— [Interruption.] I cannot actually believe what I am hearing from Opposition Members. When they stood in 2017, they also said that they were going to respect the result of the referendum; it sounds like they do not believe in the manifesto commitments that they made.
However, I believe that the deal is a good one. It is vital for scientific and education partnerships going forward, which it will protect for the next two years, and will allow for future negotiations, in order to make sure that we can continue to work with our European neighbours.
On the point about a transition period, the deal is a transition. We will be able then to get round the table and open up the square brackets around our future relationship, which are currently closed because of Members’ indecision and failure to back this EU deal—the EU helped to put it together and backs it also—so that we can move forwards together, safeguarding scientific partnerships and working on education partnerships.
I listen to concerns that are expressed. I have quoted figures that have been published, but some Members have raised issues relating to the current academic year, in respect of which figures have not been published. I want to ensure—as I do when I go to Brussels, when it comes to some of the negotiations on Horizon Europe—that I make the positive case that we want to protect postgraduate students in particular. We are committed to spending 2.4% of GDP on research and development, and if we are to hit that target by 2027, it is vital that we have a pipeline of talent that is national, European and international. That was a long answer to the hon. Gentleman’s question, but, yes, I will certainly meet him and the vice-chancellor.
Many EU students are currently studying at Hull university. Can the Minister guarantee that no matter what they are studying, as undergraduates or postgraduates, they will not be affected by the proposed changes?
We can learn a lot from each other in due course, and I have already been to Cardiff to meet the vice-chancellor Colin Riordan, who has raised research issues. Obviously, that is a UK-specific reserved matter, and I think it is important that we continue those dialogues, but I would say that no decisions have been made. We have provided the certainty on 2019-20, and an announcement on 2020-21 will be made shortly. Any future policies will be part of those future negotiations, which, if we can have the EU deal voted through by the House, we will be able to get on with.
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