A new international student levy is on the horizon, and the big question for students is simple: could it make studying in England more expensive?
Who will actually pay the levy?
The levy would be paid by universities and colleges registered with the Office for Students in England, not by individual students as a separate line on their invoice. The proposed amount is £925 per international student per year from 1 August 2028. The practical issue for students is therefore not direct liability, but whether providers choose to reflect this additional cost in future fee levels, financial support packages or wider student services.
When will it apply?
The levy is expected to apply to international student enrolments from August 2028, covering the 2028–29 academic year onwards. The first payments are expected to be collected after the relevant academic year, once student numbers have been confirmed. For students applying now or planning future study, this means the key issue is likely to be how universities reflect the levy in future fee-setting and scholarship decisions.
Will international tuition fees increase?
There is no automatic rule that the levy must be passed on to students. The government proposal places the legal payment obligation on providers, not individual students. Even so, from a student’s perspective, the practical concern is whether the additional cost will influence future tuition fees, reduce the value of scholarships or bursaries, or affect investment in student services. Prospective students should therefore compare not only headline tuition fees, but also fee guarantees, scholarship terms, payment plans and the support available during the course.
Will every international student count towards the levy?
Not necessarily. The draft legislation allows the Secretary of State to set, by regulations, a number of international students for each registered provider in respect of whom the levy would not be charged. In other words, there may be a provider-level allowance or threshold before the levy starts to apply. The government’s worked examples use 220 students, but the draft legislation itself does not appear to fix that figure on the face of the Bill. Until the regulations are published, the precise allowance and how it will operate in practice remain points to watch.
Which students and courses are in scope?
The levy is aimed at international higher education students who do not qualify for home fee status. It is expected to apply to students registered with English higher education providers, including students on franchised or subcontracted provision where the student is registered with the provider. Transnational education delivered outside the United Kingdom is not expected to be within scope, and the Universities UK guidance indicates that the levy currently applies only to English providers, not providers in Scotland, Wales or Northern Ireland.
Why is the levy being introduced?
The stated purpose of the levy is to help fund the reintroduction of targeted maintenance grants for disadvantaged UK students, particularly for courses aligned with the UK’s industrial strategy. From an international student’s perspective, this may feel difficult because international students already pay significantly higher tuition fees than home students. However, the sector position is that international students continue to be valued and that universities remain committed to recruiting and supporting them.
Practical points for international applicants
- Check whether the course is delivered by an English provider and whether any partner or franchised arrangement affects who you are registered with.
- Ask whether your tuition fee is fixed for the duration of the course or may increase each year.
- Review scholarship and bursary terms carefully, including whether awards are guaranteed, renewable or dependent on academic performance.
- Look beyond tuition fees and compare total costs, including accommodation, visa costs, healthcare surcharge, travel, deposits and payment deadlines.
- Monitor university updates, because detailed implementation guidance may develop before the levy takes effect in August 2028.
If you would like to discuss any of the issues raised in this article, please contact Reshma Derasari.