The UK Home Office has raised the financial savings requirements for international students for the first time since 2020.
This change comes as part of a broader effort to align maintenance requirements with rising inflation and the cost of living across the UK.
Under the new rules, international students heading to London will need to show they have £1,483 per month, up from the previous £1,334.
Students planning to study outside London will need to demonstrate £1,136 per month, an increase from the earlier £1,023.
This means that students studying in London for a nine-month course will now need to show evidence of £13,348 in total savings when applying for their visa.
The adjustment in maintenance requirements has been announced as part of an update to the UK’s visa policy, effective January 2, 2025.
The decision aligns with the rising costs of living and maintenance loans available for domestic students, which have also been adjusted.
Syed Nooh, Head of Global Insights and Market Development at UEA, commented, “On one hand, it is understandable that the UKVI has decided to increase the maintenance funds requirement to align with rising inflation and the general increase in the cost of living across the UK.”
However, Nooh cautioned that “the UK risks positioning itself as a less accessible option, especially for students from lower-income countries.”
The increase in financial requirements is likely to affect international students from developing countries who may struggle to meet the higher savings thresholds.
“Students from developing countries may find it more challenging to meet these increased financial requirements, potentially leading to a less diverse campus environment,” Nooh added.
This policy change is part of a series of adjustments impacting international students in the UK. Nick Skeavington, Head of International Student Recruitment at the University of Exeter, highlighted that while this specific increase might not have a significant standalone impact, it is part of a broader trend of policy changes.
“It is important to consider [the increased maintenance requirements] in the wider context in terms of changes to the visa policy for dependents, currency and affordability challenges in key markets especially in West Africa and South Asia, as well as the significant increase in the NHS surcharge this year,” Skeavington said.
Adding to the financial burden, the NHS surcharge for international students was increased by 66% to £776 per year as of February 6, 2024.
This surcharge is a mandatory fee for accessing healthcare services in the UK. Combined with high tuition fees and additional costs such as visa and biometric fees, the total financial commitment for international students has significantly risen.
The Home Office has stated that the proof of funds can be “offset” if students have paid a deposit for their accommodation in the UK.
Additionally, students who have been in the UK on another route for at least 12 months at the time of their application do not need to show maintenance funds.
Stakeholders have generally agreed on the necessity of aligning maintenance requirements with domestic maintenance loans to ensure students are financially supported and avoid hardship.
However, there are concerns about the potential impact on the diversity of student populations due to the increased financial barriers.
Nooh emphasized the importance of ensuring that “students have sufficient financial support … to avoid hardship during their studies,” while also expressing concern about the accessibility of the UK as a study destination for students from lower-income backgrounds.
