Is the UK still a preferred destination for Indian students?

WorldBusiness & Finance
18 Jun 2026 • 3:26 PM MYT
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As Britain’s universities prepare for the start of the 2026-27 academic year in September, a question hangs over the higher education sector: how many Indian students will decide that a British degree is still worth the cost?

For more than a decade, Indian students have been among the driving forces behind the internationalisation of British higher education. They fill lecture halls, enrich research programmes and contribute billions of pounds to the economy. But rising costs, tightening immigration rules and growing competition from other destinations are prompting Indian families to weigh their options more carefully than ever before.

The numbers remain impressive. Indian nationals accounted for around 23 per cent of all sponsored study visas issued by the UK in the year ending December 2025, with around 95,000 study visas granted during the period. India has become one of Britain’s most important education markets and Indian students are now among the largest overseas student communities in the country.

Yet there are signs of change.

Recent analyses of Ministry of External Affairs data suggest that the number of Indians studying abroad fell in 2025 after years of growth. More than 1.2 million Indians still studied overseas, but rising costs, tighter visa rules and economic uncertainty have encouraged families to ask tougher questions about value for money.

Those questions begin with cost.

For an Indian student considering a one-year master’s degree in Britain, tuition fees at leading universities typically range from £20,000 to £40,000 a year, equivalent to roughly Rs 23 lakh to Rs 46 lakh. Living costs add substantially to the burden. The British government currently requires students in London to demonstrate access to more than £1,500 a month for living expenses — about Rs 1.7 lakh every month. Accommodation, food, transport and other expenses can add another Rs 16 lakh to Rs 22 lakh a year.

Visa fees, health charges and travel costs push the total even higher.

Taken together, a one-year master’s degree in Britain can cost an Indian family anywhere from about Rs 40 lakh to more than Rs 70 lakh, depending on the university, location and lifestyle chosen.

Reserve Bank of India figures show that Indian families and students spent USD 3.71 billion on international education in 2025, up 31 per cent from 2018. The commitment remains strong, but so does the demand for evidence that such an investment will pay off.

Professor Shitij Kapur, the Indian-born President and Principal of King’s College London, has placed himself at the centre of the debate over the value of higher education.

Kapur believes families are asking tougher questions about university because the graduate job market has become more competitive than it was for previous generations.

In an interview with a leading British newspaper, he argued that a university degree is no longer the “passport to social mobility” it once was.

“If you got a degree, you were almost certain to get a job as a socially mobile citizen. Now it has become a visa for social mobility – it gives you the chance to visit the arena that has graduate jobs and the related social mobility, but whether you can make it there is not a guarantee.”

Kapur attributes the change to a combination of economic stagnation, technological disruption and the growing number of graduates competing for professional jobs.

At the same time, he continues to argue that higher education remains one of the most important routes to economic and social advancement. Under his leadership, King’s College London has expanded its Indian student population and launched Vice-Chancellor’s Awards for India-domiciled postgraduate students.

His remarks help explain why families spending Rs 40 lakh to more than Rs 70 lakh on an overseas education are increasingly focused not simply on obtaining a degree, but on what opportunities it will create afterwards.

One reason Britain remains attractive is the Graduate Route visa, which currently allows international students to remain in Britain for up to two years after graduation to work or seek employment. Doctoral graduates can stay for three years.

For many Indian families, that post-study work period remains one of the strongest arguments in favour of studying abroad.

But the window is narrowing.

The British government has announced plans to reduce the standard post-study work period from two years to 18 months from January 2027. Students beginning a one-year master’s course in September 2026 are expected to graduate after the change takes effect.

The direction of travel was set out in the Home Office’s 2025 immigration white paper, which called for “an immigration system which promotes growth but is controlled and managed”.

It also argued that international graduates should “transition into graduate-level jobs and are properly contributing to the economy”.

The message is not hostile, but it is increasingly conditional.

Among the most influential Indian-origin figures in British higher education is Professor Bhaskar Vira, Pro-Vice-Chancellor for Education at the University of Cambridge.

Vira has consistently argued that India should be viewed not merely as a source of students but as a major intellectual and research partner for Britain. In his view, many of the world’s most pressing challenges require deeper collaboration between British and Indian institutions, researchers and policymakers.

Welcoming the launch of the Cambridge-India Centre for Advanced Studies during a Cambridge delegation’s visit to India in February 2026, Vira said, “It has been wonderful to see the enthusiasm of our colleagues in Cambridge and our partners in India for the Cambridge-India CAS. I’m looking forward to this next chapter in the relationship between Cambridge and India.”

His comments reflect a broader shift in British thinking. India is increasingly viewed not merely as a recruitment market but as a long-term partner in research, innovation and higher education.

The choices available to Indian students are also being reshaped by a development that would have seemed improbable a decade ago: British universities opening campuses inside India.

Among them is the University of Southampton in Gurugram, Coventry University in Gujarat’s GIFT City and the University of Aberdeen, which is opening a campus in Mumbai.

Speaking at the launch of Aberdeen University’s Industry Advisory Board in April 2026, Dr Rahul Choudaha, Chief Operating Officer and Professor at Aberdeen’s Mumbai campus, said, “The future of higher education lies in deep, sustained collaboration between academia, industry and alumni ecosystems.”

He added, “We are building an institution that is globally connected and industry-integrated from day one.”

Earlier, in an interview with an international higher-education publication, Choudaha argued that the surge in international student mobility after the pandemic had been driven by generous immigration pathways in countries such as Canada and Britain. As those policies tighten, he suggested, students are increasingly considering alternatives closer to home.

Rather than requiring students to move abroad, Aberdeen is bringing its curriculum to India and awarding the same degree available on its home campus.

The implications are profound.

A generation ago, Britain largely viewed India as a source of students. Today, Indian-born academics occupy leadership positions in British universities, Indian institutions are increasingly important research partners and British universities are opening campuses on Indian soil.

For students and parents, the calculation has become more complex than ever. Tuition fees remain high. Living costs continue to rise. Immigration rules are tightening. Yet British universities remain among the world’s most respected institutions and the opportunity to study and live in a major international city retains enormous appeal.

The families asking whether Britain is still worth it are not dismissing the country. They are simply asking a harder question than their predecessors did — and expecting a more convincing answer.

As the new academic year approaches, that question is being asked in homes from Chandigarh and Delhi to Mumbai and Bengaluru. The answer will shape not only the futures of thousands of young Indians but also the future of Britain’s universities themselves.