Yorkshire universities would be undermined by new tax plans
Yorkshire is privileged to be home to a number of world-class seats of learning. The region’s universities are not only equipping young people with the skills they need to succeed in life but also developing cutting-edge solutions to problems of the future.
However, higher education is an ecosystem that is clearly under threat from the Government’s new tax measures. A big piece of the puzzle for a lot of universities are international students. Not only do they help shore up universities financially but also make them the dynamic institutions that they are today.
Labour’s plan to set a six per cent levy on international student fees could cost the region £134m in the first year alone. But the damage to the region’s economy could be far more significant. International students contribute £1.5bn to the region's economy each year, making universities less attractive to them would be an own goal that the country cannot afford.
Understandably, university leaders are worried about the damage this could do to the sector but even business leaders have called for the levy to be scrapped, fearing it could dampen innovation and opportunities for growth.
This isn’t just about the fees that international students pay but their everyday spend that keeps places like York, Leeds and Sheffield going. And some of these students then go onto become business leaders of tomorrow, bringing with them future investment.
While there is a need to tackle immigration with numbers far exceeding the capacity the country is able to handle, it would be foolish to turn our backs on skills and investment that is greatly needed here.
The Government says it plans to use the money from the levy for means-tested maintenance grants. Making universities accessible to those from disadvantaged backgrounds is to be welcomed but the Government needs to rethink its approach before it damages the sector.