Immigration Bill

Baroness Williams of Crosby Excerpts

Thursday 3rd April 2014 Lords Chamber

The answers to my three questions on the accommodation issue will certainly influence my decision and the decision of the other co-sponsors of the amendment on whether to test the opinion of the House on it. I look forward with eager anticipation to the Minister’s response. I beg to move.

[Baroness Williams of Crosby (LD)]

My Lords, as one of the co-sponsors of this amendment, I will add a few further thoughts to the ones so ably mentioned by my colleague, the noble Lord, Lord Hannay. I completely bear him out that the history of higher education in this country for overseas students is one of the most remarkable success stories of any country in the world. For the past 20 or 30 years, we have maintained an astonishing magnetic appeal to young men and women coming from other countries, both within the European Union and far beyond it, to a greater extent than any other country in the world—although recently the United States has moved into first place in the league table of such countries.

The noble Lord, Lord Hannay, pointed out that, sadly, the United Kingdom has lost some momentum in attracting overseas students, and I will say a few words about that in a moment. First, I thank the Minister for the immense amount of work that he has done, his willingness to have meetings day after day and the huge amount of effort that he has put into them. I share the view of the noble Lord, Lord Hannay, that nothing would give us greater pleasure than to receive a response that would enable us not to proceed further with this amendment. However, there are still substantial questions out there to be answered.

I will therefore begin by saying that one of the troubling aspects of this situation, which is a relatively new one, is that in the past couple of years the standing of the United Kingdom as regards its acceptability to overseas students has been quite substantially damaged. As an example I will give the House the benefit of what the National Union of Students said about the extent to which overseas students see us as a welcome and welcoming country. It conducted a substantial survey of some 18,000 people in early January of this year and found that 51% of undergraduates from overseas—just over half—said that they had not found the United Kingdom a welcoming place in which to study. In some ways even more troubling is that, among postgraduates who have a degree and are now staying in the country particularly with a view to working to fund the completion of their qualifications, the number was as high as 66%. Two-thirds of postgraduates who responded to the survey said that they had not found Britain a welcoming country in which to study. That is substantially different from figures in earlier surveys, which showed that the United Kingdom was rated very highly as regards the welcome it extended to overseas students.

I will add two other rather hard things. First, many billions of pounds—the estimate is about £3.5 billion—have come into this country as the result of payments made by students to universities for the studies that they have made. Perhaps at least as significant in that context is that the attitude of postgraduates to work-study arrangements that are made is increasingly negative. Our work-study arrangements are now less generous than those of other countries such as Canada, Australia and the United States. I will give a figure for that shortly, but before I do so I will add one crucial fact.

I was for three years of my life the Minister for Education and Science. One thing that is not sufficiently recognised in this country is the extraordinary contribution made by postgraduates and post-doctoral overseas students to the remarkable scientific achievements of this country. In many cases scientific teams are heavily dependent on attracting outstanding young men and women from abroad to take part in our research teams, primarily directed at science and medicine. I could give many examples, but I will give just a couple. The remarkable achievements in connection with graphene in the past couple of years, which led to no less than a Nobel Prize, were the outcome of the work of mixed teams of our own people and people from overseas, and that was a very remarkable achievement.

I can give another remarkable achievement, in this case from the University of East Anglia, where a former student who became a postgraduate and continued to work in the field of medicine established that at least one of the regularly prescribed pharmaceutical products designed to deal with diabetes was in fact the source of more frequent heart attacks among diabetes patients than among people of the same age group. That gentleman made a huge contribution by revealing this in detailed scientific papers, as a result of which that particular pharmaceutical product has now been withdrawn and the effect it had on heart attacks among diabetic patients has ceased.

A third example is the remarkable building up of a huge history of China by a mixed team of people, in this case in the humanities, which shows in detail the way in which China has developed, the sources of its growth and the sources of its political difficulties right up to the present time. I will not go on, but any Member of this House who wants more detailed information will find an extensive list of the achievements by postgraduates from overseas, together with British graduates and post-doctoral students, which shows how important that group is.

I will say right away, therefore, along with the noble Lord, Lord Hannay, that we are very pleased that the Minister has addressed the very difficult question of landlords and tenancies and the question of accommodation. I share with the noble Lord, Lord Hannay, gratitude for the steps that the Minister has taken, which have been achieved with a great deal of hard work, innovation and determination to get an answer. We are truly grateful for that and, like the noble Lord, Lord Hannay, I hope that he will be able to confirm this morning that there has been an adequate extension of the plan for undergraduates to postgraduate and post-doctoral students.

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[Lord Taylor of Holbeach]

Yes, absolutely: that is the case. It is up to the landlord to decide whether they want to enter into a conditional arrangement. In university towns this is a frequent enough experience, is it not? They can check the nomination, which may say that the person has a conditional place at the university. That can be checked immediately the undergraduate or postgraduate arrives to take up the accommodation. We do not want to make this difficult. We want to make universities feel that this will help them as well as the students at their university.

I turn to the health surcharge—there are a number of landlord issues I might come back to but I want to try to deal with this as far as I can in order. I urge noble Lords to bear in mind that international students cost the NHS around £430 million a year and more than £700 a head. The NHS has limited funding and cannot sustain this if it is unsupported by those who use that service. The surcharge for students is just £150 a year. It is a very good deal. It is a fraction of the true cost to the NHS and just 1% of the cost of studying in the UK. There is no reason to believe that the surcharge will deter students from coming to the UK because it is set well below the price students pay for health insurance in our competitor countries.

I accept that international students contribute significantly to our economy, but such contributions do not exempt students from health charges in our competitor countries and there is no reason why they should do so here. Noble Lords will understand our reasoning in that regard. The NHS provides quality care to international students and their dependants for a wide range of health issues. I will speak more on the NHS services that international students have used, if noble Lords wish.

[Baroness Williams of Crosby]

I think the whole House recognises that £150 is a not unreasonable figure. However, there is a very specific and limited case for those in post-doctoral or postgraduate positions who bring their dependants with them. At that point the continuation of the charge, especially if somebody has taken work that enables them to pay national insurance and taxation, begins to feel much more like a burden than like a benefit. Does the Minister agree?

[Lord Taylor of Holbeach]

Indeed. My noble friend and I have discussed this in meetings. I take the point. It was made by the noble Lord, Lord Hannay, as well. I think he and other noble Lords understood that there will be secondary legislation that will define these issues. I am aware of the concerns expressed by noble Lords in this respect. My noble friend Lady Hamwee made the same point about the length of time that some individuals may pay the surcharge. I do not consider this a serious problem but I commit to considering it carefully before bringing forward the affirmative resolution order.

A number of other mattes were raised. My noble friend Lady Williams of Crosby asked about changes to work-study visas. We do not have any figures on this but she is quite right to point out that we have tried to facilitate this, just as through the graduate scheme we have tried to facilitate higher education and have worked with institutions.

She asked about slowness in the visa system. In fact, 93% of administrative reviews for overseas students—these applications are made overseas—are made within 28 days, so it is quite speedy. That is one reason we are looking to use the method of administrative review more generally in this respect.

I hope that I have satisfied the noble Baroness, Lady Warwick of Undercliffe, about the breadth of the accommodation amendment. Any undergraduate who chooses to use that facility by gaining a nomination from the university will get the accommodation that they need, and it is quite proper to take up a place in advance.

I was asked by a number of noble Lords about our general approach to working with universities. We have been working at ways to promote this country to students from overseas. It is something in which I believe, and I hope that I have been able to reassure noble Lords that with the considerable sums now being put to one side through the Budget to promote our education facilities to overseas students we have a good offer in place.

The noble Lord, Lord Sutherland, was very keen that the Government should demonstrate unity of purpose on this issue. I hope I have said nothing that discourages him from believing that we have a unity of purpose on this issue. I very much appreciate the work that the noble Earl, Lord Sandwich, does, in particular with the college in south London. He and I have had meetings on it. I know he had a meeting with officials last week, trying to reconcile them to the arrangements. This is not an easy area but we want to work with this sector.

I did not have the benefit of a university education. I went to work at 17 and it has taught me that there are huge benefits in university education. I believe in it passionately. I do not want to see other people denied the opportunities that our university sector provides. I hope that I have demonstrated my wish to engage with the sector and give it confidence that there should be no reason why a properly constructed immigration policy would be incompatible with our policy objective of encouraging the brightest and the best to come and study at our excellent universities. I hope, in the light of these points, that the noble Lord, Lord Hannay, will withdraw his amendment.