Student Visas

Andrew Smith Excerpts

Thursday 16th June 2011 Westminster Hall

[Paul Blomfield]

The hon. Gentleman raises an important point. Part of the difficulty with this debate is that it has focused on discouraging international student numbers from the demand side. We should be looking at it from the supply side by dealing with those institutions that forfeit trust. I agree with the highly trusted sponsor system, which is the same trajectory of policy as that of the previous Government.

[Mr Andrew Smith (Oxford East) (Lab)]

I congratulate my hon. Friend on securing this debate. Overseas students are absolutely vital in Oxford both for the universities and the many language schools. Is not one damaging feature of what the Government have done the erection of this huge bureaucratic maze through which institutions have to go? Would Government Members not be complaining rightly about red tape if this applied to any other area of exports? Clearly this issue has been exempted from the red tape moratorium. Is not the answer to bring forward a system that combines highly trusted status, proper inspection and a proper operation of country risk profiles?

[Paul Blomfield]

My right hon. Friend makes an important point from his huge experience and from the fact that there are two excellent universities in Oxford and I certainly agree with him.

Let me move on to the problems that have been created by the speed of implementation. When the Home Secretary was announcing the revised tier 4 arrangements in March, she said:

“We recognise the need to implement these changes in a staged manner that minimises disruption to education providers and students.” —[Official Report, 22 March 2011; Vol. 525, c. 858.]

We all know, I think, that that is not happening. The new requirements took effect on 21 April at an advanced stage of the university’s admission cycle and at a point where a number of offers had been made and, crucially, had been accepted. In Sheffield, our two universities and Sheffield international college had already made more than 20,500 offers to prospective students for degree-level courses and currently have 1,300 offer holders and applicants for English language programmes. All those offers have to be revisited as applicants may now no longer meet the UKBA’s new subset score requirements. The colleges must now notify students who have accepted offers and who, therefore, have a legally binding contract with them that they must meet new conditions. They are deeply concerned about the legal ramifications of such a change and the damage that could be done to their reputation. They have to alter the terms of the offers that have already been accepted. Could that not be avoided by having transitional arrangements in place to enable students to be admitted in this new academic year on the terms on which offers have been made?

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[Mr Andrew Smith]

My hon. Friend is being very generous in giving way. Is not the response to the hon. Member for Peterborough (Mr Jackson) that he is ignoring these graduates’ contribution through their wealth creation, skills and taxation payments? If the Government will not listen to us, should they not listen to Sir James Dyson, who not only sits on the Prime Minister’s business advisory group but headed an innovation taskforce for him? Sir James said:

“It is sheer madness to be effectively chucking out graduates who we desperately need. I am afraid what it will end up doing is driving firms like us abroad because we simply can’t get people to do our research and development.”

[Paul Blomfield]

I very much agree with my right hon. Friend. I have talked to companies in Sheffield, and they say that the opportunity to have some of the best intellectual talent in the world working with them in product development and improving manufacturing processes is a startling benefit that our city gets from its two universities.

I will move on to the specifics of an area that the Government have seen as problematic: the post-study work route. I understand, unless there are more changes that the Minister wants to share, that under the new proposals international graduates of UK universities will, from April 2012, need a confirmed job offer for a graduate level role—that is fair enough—but which pays at least £20,000, and they will need to apply for a tier 2 visa for the job before their tier 4 visa expires. There is nothing wrong with limiting work to that of a graduate level, but the imposition of a £20,000 salary threshold is too restrictive for some sectors and regions. Sheffield university tells me that its average graduate starting salary falls below £20,000: in arts and humanities it is £16,600, in pure science it is £16,100 and in social sciences it is £18,000. According to the graduate employer survey of 2011, graduates in Yorkshire should generally expect a starting salary of between £15,000 and £18,000.

One of Sheffield university’s strengths is architecture. The students’ union international students’ officer, Mina Kasherova, in written evidence to the Business, Innovation and Skills Committee, highlighted the problems facing architects: they need to gain work experience after graduation to obtain their professional qualification, but they will not be able to get such a post with a salary of more than £20,000 through tier 2.