Brexit – a vote of uncertainty on the education sector?
Higher Education is an important segment which is likely to see major changes after Brexit, particularly for Indian students aspiring to study in the UK and EU. Therefore today, we analyse the impact of Brexit on various factors related to international courses and how this can affect Indian students too. Read on!
Finance and Currency
The British Sterling lost more than 7 per cent of its value against the dollar almost in a single day and UK stocks had their worst drop since post the announcement; this signifies a dramatic slump which might lead to independent schools in the UK becoming more affordable for families looking to send their children into the UK. For now the weakened pound could well allow educational institutions to become more competitive internationally. There is however a slim chance that educational institutes might look at increasing overall fees in order to compensate for the loss in getting funding from the EU. We advise students to ensure that they have backups for this situation by applying for student loans well in advance.
Immigration and work prospects
Brexit could evolve into more stringent visa entry regimes – which may lead to the need to look elsewhere for private schooling, and to seek countries that appear to be the easier and more reliable choice. Even Prime Minister Mrs. Theresa has said one of the main messages she has taken from the Leave vote is that the British people want to see a reduction in immigration.
Funding and Scholarships
Expect UK and EU colleges to court Indian students aggressively as we make up a significant percentage of their international students.
Every year, universities generate over £73 billion for the UK economy – £3.7bn of which is generated by students from EU countries, while supporting nearly 380,000 jobs. Perhaps UK universities will now try to attract more Indian students as they cannot afford to ignore Indian students or their association with Indian institutions, particularly with the pending foreign education bill and the recent announcements by the ministry of human resource development regarding tie-ups with foreign institutions. With the strong anti-immigration undercurrent for Brexit, it is likely that EU will take a more welcoming stance for international students.
Hence, apart from current impact on the market for currency valuation, little is expected to change before the two years for negotiation are up- i.e. For the UK to leave the EU it has to invoke an agreement called Article 50 of the Lisbon Treaty which gives the two sides two years to agree the terms of the split. Mrs Theresa May (current UK Prime Minister) has said she will not kick-off this process before the end of 2016. This means that we will not begin to get a clear idea of what kind of deal the UK will seek from the EU, on trade and immigration, until next year.
So until then, keep a lookout for our blogs to know about latest updates for Brexit and ensure that you study hard for a brighter future!