In a significant shift to its international student policies, the UK government has announced new financial requirements for students enrolling from 2025. The revision, aimed at addressing the rising cost of living, will place additional financial burdens on students, particularly those coming from countries like India. As a result, prospective students will need to demonstrate higher levels of savings to secure their visas and pursue education in the UK.
New Financial Regulations: What’s Changed?
Under the revised guidelines, students planning to study in London will be required to show savings of GBP 1,483 (approximately INR 1.63 lakhs) per month, an increase from the current GBP 1,334 (around INR 1.46 lakhs). For students attending institutions outside London, the monthly savings requirement will also rise from GBP 1,023 to GBP 1,136. This adjustment aims to reflect the soaring living costs that have escalated since the last update in 2020.
For example, a student planning to study in London for a typical nine-month course will now have to demonstrate a total of GBP 13,348 in savings, a substantial increase that could pose difficulties for many prospective students. The UK government has attributed this change to inflationary pressures, and the increased maintenance requirement seeks to ensure international students are financially prepared for their time in the country.
Impact on Indian Students
India is one of the largest sources of international students in the UK, with thousands of Indian students pursuing education across various disciplines every year. With the new financial requirements, Indian students may face challenges in securing the necessary funds to meet the updated criteria. The increased financial burden could result in a shift in student demographics, as those from lower-income families may find it harder to afford the UK education system. It may also impact student loans for the UK.
Given that many Indian students rely on loans or family savings to fund their studies abroad, the higher financial threshold may lead to fewer applications or delays in processing. For instance, a student who was initially planning to enrol in a nine-month course in London may now find it increasingly difficult to gather the required GBP 13,348, let alone additional costs like tuition fees, travel, and accommodation.
Broader Implications for the UK Education System
The new regulations could have far-reaching consequences for the UK’s reputation as an international study destination. While the government justifies the hike as a necessary step to align maintenance requirements with domestic student loans, critics argue that it may make the UK less attractive compared to other countries like Canada, Australia, and the US, which also host large numbers of international students.
The financial strain may not only limit the diversity of the student body in UK universities but could also deter students from pursuing high-cost courses. Institutions that rely on international student fees might feel the impact of reduced enrollment, leading to potential revenue losses.
Follow the Fly Finance Newsdesk to get regular updates on study abroad loans, the latest guidelines, international money transfers etc.
