Student Visas Debate

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Department: Home Office
Thursday 6th June 2013

(11 years, 5 months ago)

Commons Chamber
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Adrian Bailey Portrait Mr Bailey
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My hon. Friend mentions an important point. I shall deal with that in some depth in a moment.

Within the regulatory regime, the current problems are focused on the inflexibility of the tier 4 visa for undergraduate education. Over and above that and linked to it are the problems associated with the post-study work visa. There is no doubt that many international students who want an undergraduate education want to carry that on at postgraduate level in order to demonstrate the skills that they have acquired in local universities, the local public sector or sometimes local businesses. The majority deterrent to that within the existing visa structure is the high salary threshold, which precludes much postgraduate working in areas where salaries for graduates are lower or in professions where salaries for graduates are lower.

Credibility interviews are the process that the Home Office is using to interview would-be international students in their home countries to establish the credibility of their claims to want higher education in this country. The feedback that I am getting time and again from universities is that that approach appears to be incoherent and inconsistent. Taken together with the change in regulations, it reinforces the perception abroad that Britain is no longer open to business. The fact that the Prime Minister needs to go to these countries and make these statements is a tacit admission that there is a real problem and a gap between the regulatory regime as stated by the Government and the perception of it abroad.

Joan Ruddock Portrait Dame Joan Ruddock (Lewisham, Deptford) (Lab)
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I congratulate my hon. Friend on his speech. In London alone, tuition fees are paid by overseas students to the value of £870 million, so we have a tremendous gain from these students coming here. At my local colleges, Goldsmith’s and Trinity Laban, the student experience is vastly enhanced by the presence of foreign students.

Adrian Bailey Portrait Mr Bailey
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I thank my right hon. Friend for her intervention. I will elaborate on that point in a moment, and I am sure that Members representing other universities would seek to do so.

We really need to sing about the fact that further and higher education in Britain is a success story. It is not just a way for people to fulfil their personal career ambitions or to develop themselves culturally and socially, important though that is; it is an industry that earns £8 billion in exports and contributes £14 billion, in all, to the British economy. In certain towns, particularly in more deprived regions, it is crucial in sustaining employment levels and economies. Four UK universities are in the world university top 10 rankings, and a very high percentage are in the top 200. It is not just about the contribution that international students make to the economies of the local areas in which universities are located. Increasingly, universities are working in collaboration with local businesses to ensure that the research and skills that they develop are harnessed for commercial purposes or with the public sector to assist in the local community. I have seen fantastic examples of that work up and down the country, and it is crucially underpinned by international students.

Last year, 12% of the total student body comprised international students, 49% of whom enrolled in courses in engineering, maths and computer sciences—the very areas where there are serious skills shortages and the maximum economic dividend for our businesses. Any policy that restricts access into those areas will have, in the long term, profound implications for the capacity of our local businesses to grow the economy.

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Mark Harper Portrait Mr Harper
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I hope that the hon. Gentleman will forgive me if I finish this point before I give way to him. I think I know what he is going to say, because I took careful note of what he and others said earlier. Let me deal with what I think he is going to say, and if I am wrong I will give way to him later.

I believe that we have a very positive story to tell. I know that newspapers do not always report a positive story, but Ministers try to convey a positive message and, indeed, Members on both sides of the House have tried to do that today.

Joan Ruddock Portrait Dame Joan Ruddock
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Will the Minister give way?

Mark Harper Portrait Mr Harper
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Let me make some progress first.

The Government have been clear about the need to bring control to the immigration system, but we have also been clear about our wish to welcome those whom we want in the country. A common view, which many Members will share, was expressed particularly well by my hon. Friend the Member for Croydon Central (Gavin Barwell), who said that his constituents had voiced no concern either about those who come here to study at our excellent universities, or about those who come here to do highly skilled jobs in business. I agree with my hon. Friend. That is why we have deliberately designed our system to attract people like that, and to deter those who are not coming to work in skilled occupations, or who are coming for other reasons.

The statistics show that we have achieved that selective balance. The number of university students and the number of people working in skilled jobs have risen. However, as my hon. Friend said, it should also be borne in mind that our constituents are anxious for us to have some control over the system. We must design a system that attracts the best and the brightest—to use the buzz words—from around the world to study, and appeals to global companies based in Britain that want to import some of their engineers and senior managers for a certain period to run their businesses, while also deterring those who will bring no benefit to the United Kingdom.

As Lord Mandelson has said, the previous Government did not have a controlled system. Indeed, they had a completely uncontrolled system: they just went out grabbing people from around the world. We have been determined not to overreact to that, but also to ensure that we have a system that focuses on the right people coming to Britain.

Mark Harper Portrait Mr Harper
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I do not agree, for the following reason. The point was best made by my hon. Friend the Member for East Hampshire (Damian Hinds). There are two aspects to this. First, over a period, international students who come here to study and then go back to their home country make no contribution to net migration at all, because they come to Britain and then leave. In a steady state, therefore, they make no contribution to net migration at all. My hon. Friend is right, however, that in a growing market, as a consequence of the difference between those coming in a year and those leaving in that year, there will be a gap, but it is only the gap that contributes to net migration, not the total number.

One of the complexities here is that the data on those leaving are not brilliant. The Office for National Statistics, which is independent and which measures the numbers of people coming to and leaving Britain, measures those coming to study, but does not currently measure those who were studying and left. One of the improvements it has made to its system is that it is now starting to do that, and we will get the first of those statistics in August, I think. Coming back to a point that the hon. Member for Rhondda (Chris Bryant) made, that will give us a much clearer picture of how many students do leave each year, and we will then get a much clearer idea of the impact of student numbers on net migration. It is worth remembering that a lot of genuine students are still in the UK quite a considerable time after their arrival. According to one study quoted by Opposition Members, about 20% of former international students are still in the UK although they might not have decided to settle here permanently.

The other important point shows why we need a robust system. The NAO study has been quoted several times. In the past there were significant numbers of purported students who were not here to study, but who were working in low-skilled jobs, and significant numbers of students were renewing their visas over a period of time without any academic progression at all. It does no credit to our immigration system or our genuine academic institutions that such abuse is possible. We must deal with that, as well as welcome those we want to welcome to Britain.

Joan Ruddock Portrait Dame Joan Ruddock
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I want to relay to the Minister my experiences and those of my constituents in respect of those moving from one course to a higher course who need to renew a visa. It is taking at least three months, and during that time the student has no access to their passport and cannot travel for academic or personal reasons. Is the Minister really satisfied that that is good enough? Will he put more resources into this whole area of endeavour in the Home Office?

Mark Harper Portrait Mr Harper
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The point the right hon. Lady makes about in-country performance is absolutely right; it is true that the performance in the last financial year of what was the UK Border Agency was not good enough, as I know very well from conversations and correspondence with Members. Out-of-country performance has remained very good, however. Part of the reason why the Home Secretary made the changes she has made to the border agency was to fix the problems in the UK visas and immigration part of the business. The good news is that we have put a lot of resource and effort into turning that around, and the performance of the Home Office for in-country operations—which used to be a UKBA responsibility—has got immeasurably better. The latest figures are much better. It has taken some time to do that, but I ask the right hon. Lady to let me know of any specific outstanding cases, and I will look at them and see if there is anything we can do.