Immigration: Overseas Students

Baroness Royall of Blaisdon Excerpts

Thursday 17th November 2016 Lords Chamber

[Baroness Royall of Blaisdon (Lab)]

My Lords, it is a real pleasure to follow my noble friend Lady Chakrabarti, and to be the first to congratulate her on her truly excellent speech. Of course I knew it would be excellent: she has extraordinary experience, expertise and energy, and I am delighted that she is sitting on the red Benches on this side of the Chamber. I have known Shami since the heady days of the Labour Government, and we had some rather interesting discussions about our policies at that time, when I was in the Cabinet—your Lordships will recall debates about the 42 days—but we never fell out over those things. She is a consummate professional—to such an extent that when she was director of Liberty no one really knew what her politics were, quite rightly. Indeed, a noble Lord said to me a couple of days ago that he had been convinced that she would be in the Lords some day soon, but that she would be on the Conservative Benches. Well, their loss is certainly our huge gain.

It could be said that my noble friend has had a baptism of fire, which I deeply regret, but as in so many of her past battles she has come through unscathed, and is relishing her new responsibilities as shadow Attorney-General. With her passion for human rights, justice, equality and social justice she is a tremendous addition to our Benches, and I know that she will make a great contribution to the work of your Lordships’ House.

I too am grateful to the noble Lord, Lord Lucas, for securing this very important debate, and I start by declaring my interest as pro-vice-chancellor of the University of Bath, where we celebrate the contribution of our international and diverse body of students and academics. I am immensely proud of the research undertaken by taught and PhD students as well as postdocs, many of them from outside the UK, which is enabling our country and the world to meet the challenges of the 21st century.

At a time of global uncertainty, when our relationship with the EU is diminished and we are refocusing our relationship with the rest of the world, the soft power at which we have excelled for decades has assumed a greater importance. Encouraging and welcoming foreign students to the UK is one of the most effective ways of garnering and sustaining that soft power. As Prime Minister Modi said on our Prime Minister’s recent visit to India,

“education is vital for our students and will define our engagement in a shared future”.

We can all cite individual examples of people studying in the UK who in their future lives and careers have prioritised a relationship with the UK but, as we have heard, the statistics are staggering. The international education sector is one of the biggest service exports, and one that has significant growth potential. It is also well placed to help our universities weather the implications of Brexit. So why have the Government developed policies to further restrict the number of international students based on what I would call a fictitious number of students who do not leave the UK at the end of their studies? The IPPR recently provided an excellent analysis of the situation, which was followed by further revelations in the press. I hope that today the Minister will use this debate to release the data seen by the Times that indicate that a very small number of international students overstay. So much for evidence-based policies.

The Government also seem to ignore the evidence from a poll carried out by Universities UK that the majority of people do not view international students as immigrants—clear evidence that a more restrictive policy is unlikely to assuage public concerns on migration. As with our main competitors in the international education sphere, Canada, Australia and the US, students should be classified as temporary rather than permanent migrants and should not be subject to a target. My noble friend called them “visitors”, and I think that that is quite right.

One of the key recommendations in the excellent IPPR report, Destination Education: Reforming Migration Policy on International Students to Grow the UK’s Vital Education Exports, was that, like Australia, the UK should set out a 10-year plan for expanding its education sector as part of its industrial strategy and that, as part of that plan, the Government should reintroduce the post-study work visa for STEM and nursing graduates. That makes complete common sense, and I would be grateful for the Minister’s view, especially in light of the expected announcement by the Chancellor in the Autumn Statement that there will be a significant investment in infrastructure spending which will create a vast number of engineering jobs, at a time when we already have far too few engineers to meet demand. There is also a looming crisis with regard to nurses. Dame Julie Moore, chief executive of University Hospitals Birmingham NHS Foundation Trust and Heart of England NHS Foundation Trust has recently said that some of her staff from the EU and Ireland want to go home because of the uncertainties of Brexit and the racist abuse. I can say that it is the same for hospitals in Gloucestershire.

The number of international students coming to the UK has fallen over the last six years, while global demand has grown 60% since 2007 according to the OECD. Our competitors are having a field day—and why would they not? The Prime Minister says, and no doubt the Minister will repeat, that Britain is attracting the brightest and the best, but is that really true and will it continue, especially with Brexit and the uncertainties that surround every aspect of economic life? It is absolutely clear that the Government’s new policy on international students, announced by the Home Secretary and driven in large part by their objective of reducing net migration to tens of thousands, will cause further unnecessary harm to individual universities, FE colleges and our education sector as a whole. It will also harm the economic and cultural vibrancy of the university towns and cities. It simply does not make economic sense to provide additional barriers to attracting international students, and we should not forget the societal and cultural loss that we would suffer. In the globalised world of the 21st century, we must equip our students to be citizens of the world, which means studying alongside international students. With the future of EU student recruitment at UK universities uncertain, and with UCAS figures showing a 9% decrease in applications so far this year, how will the Government communicate that all students from outside the UK are still welcome here?

It is clear that the policies of fear rather than pragmatism are driving immigration policy, which is having many perverse and adverse effects, especially on our higher and further education sector. We have outstanding universities and colleges which make a vital economic and social contribution to our country and enhance our reputation in the world—a reputation that has been severely dented by Brexit. We say that we are proud to be an outward-looking, open and welcoming country, but the policies pursued in relation to overseas students and immigration tell a different story. It does not have to be like this and I have no doubt that the message from your Lordships’ House today will be loud and clear—asking the Government to think again. I hope that they do so and that they not only rethink their new proposals but take the bold decision to remove from the immigration target the international students who are welcomed by the vast majority of our fellow citizens.

--- Later in debate ---

[Baroness Williams of Trafford]

I was just saying to the noble Baroness that, because we do not place a limit on the number of students, the fact that the ONS includes students in the migration statistics does not impact on students’ abilities to come here. I do not know if I have made that very clear; the noble Baroness does not look very convinced. If I could make progress and she could look at Hansard, perhaps I could make it clear in writing as well.

My noble friend Lord Lucas and the noble Lord, Lord Shipley, asked the initial question, “What is the problem?”. I do not think we are anything but in agreement that international students are absolutely vital to the UK, whether it is in medicine, engineering, or anything else. But we must remain vigilant, maintaining safeguards against the types of abuse that we saw previously. We will be inviting views on what more we can do to strengthen the system to support our excellent higher education institutions and those that stick to the rules to attract the best talent.

The noble Baroness, Lady Smith of Newnham, asked me to confirm that the Home Office will think liberally and openly about EU students. The Prime Minister has been very clear that she wants to protect the status of EU nationals already living in the UK. The only circumstances in which that would not be possible is if British citizens’ rights in other EU member states were not protected in return. There will be no immediate changes to the immigration status of EU students or the way that universities are able to recruit students.

My noble friend Lord Lexden asked about minor infractions being reported to UKVI, resulting in heavy sanctions being unfairly imposed. Sponsors benefit directly from migration and are expected to play a part in ensuring that the system is not abused. They must therefore fulfil certain duties to ensure that immigration control is maintained. We already apply discretion to sponsors who have fewer than 50 international students when they undergo their annual compliance assessment and we do not apply sanctions lightly.

The noble Baroness, Lady Royall of Blaisdon, asked whether we could introduce a post-study work route for STEM students and nurses. The post-study provisions we have in place must strike the balance between providing competitive options for the brightest graduates from around the globe and maintaining safeguards against the type of widespread abuse that was seen under former post-study work schemes. The noble Baroness also said that the Times report suggested that only 1 per cent of students overstay, and asked why we therefore needed to review the student visa system. We think that the reforms we have made in the last few years have worked and greatly improved compliance. However, that does not mean that we can be complacent. We will shortly be consulting on non-EU work and study immigration routes.

[Baroness Royall of Blaisdon]

All I asked for were the data. Can we see the facts with the data?

[Baroness Williams of Trafford]

My Lords, I can reply to the noble Baroness in writing. As the noble Lord, Lord Green, said, it is prudent to await clarification before policy decisions are made. However, I will get more detail to the noble Baroness on that if I can.

The right reverend Prelate the Bishop of Winchester and the noble Lord, Lord Bilimoria, talked about the recent visit to India, and the fact that the number of Indian students coming to the UK has dropped. We issue more tier 4 visas to students from India than any other country except China and the US, although I of course accept the point made by the noble Lord. We have seen increases in the number of student visas granted elsewhere to China and Indonesia in the year ending March of this year. The proportion of Indian students coming to study in the UK has increased from 50% in 2010 to around 90% in 2015, so the trend of smaller volumes of students with greater concentration in higher education is likely to reflect the recent policy changes to clamp down on immigration abuse by non-genuine students and bogus colleges.

The noble Lord, Lord Lipsey, talked about tier 2 salary thresholds being too high. For the most part they are based on the annual survey of hours and earnings—ASHE—published by the independent ONS. The salary requirements were based on advice from the Migration Advisory Committee, which is an independent body made up of labour market economists.

The noble Lord, Lord McConnell, said that the Fresh Talent Scheme worked, and that therefore Scotland needs a post-study work visa. The Fresh Talent Scheme operated in Scotland between 2004 and 2008. That scheme placed few restrictions on those who wanted to stay in the UK to work post-study and granted free access to the whole of the UK labour market. Evidence published by Scottish Government Social Research in 2008 found that only 44% of applicants had remained in Scotland at the end of their two years’ leave and a significant proportion were not in skilled work. We do not intend to return to the post-study work visa. That does not necessarily lead to skilled work.

I keep getting notes saying that I have two minutes left, then notes saying that I have no minutes. However, I think that I have probably outstayed my welcome at the Dispatch Box. I thank all noble Lords who have participated in the debate. I thank the noble Baroness, Lady Chakrabarti, once again.