Immigration and Social Security Co-ordination (EU Withdrawal) Bill (Second sitting) Debate

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Department: Home Office
Tracey Crouch Portrait Tracey Crouch
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Q That would be enormously helpful. I have a very quick question for Universities UK. The Home Secretary said explicitly on Second Reading that there would be no cap on student numbers. Did that provide you with the reassurance you were looking for in terms of students?

Vivienne Stern: Up to a point. Ministers have been saying for many years that there is no cap on the number of students who can come to the UK under a tier 4 visa. That is not actually the problem. The things that have been standing in our way are features of the visa system that, frankly, make us uncompetitive compared with some of the other major destinations that international students choose to study in. A visa system that, for example, restricts the opportunity for international graduates to stay and work in the UK for a little bit post-graduation is, frankly, not that appealing when you compare it with the opportunities offered by Australia, Canada and the US.

There are other things the Government could do to make the system more welcoming. There have been some really quite positive signals in what Ministers have said recently about a willingness to look at the compliance system. We hear from prospective international students that they are put off by a feeling that the immigration system treats them with suspicion from the start, so we should look at things like credibility interviews and how they operate, decision making by entry clearance officers, and some of the compliance requirements on institutions, which require them to interact with international students in a way that can be rather off-putting.

All those things should be looked at, if for no other reason than that there are huge opportunities for the UK as one of the most popular destinations for international students. We are in a hugely privileged position, and at this particular moment in our national history we have the opportunity to open our doors to people at a very early stage in the development of their professional lives, to establish strong bonds and, in many cases, to leave a lasting legacy of affection for the UK. We could do with more of that, not less.

Education is also a hugely important source of export earnings for the UK. Although international students have value far beyond their financial or economic value to the UK, it is not trivial that this is an increasingly important export sector. The Government’s figures point to quite significant growth in our export earnings from education, which are now around £19 billion a year. We should be pursuing that opportunity, rather than tripping over our own feet. The new international education strategy announced in January is a great opportunity for the Government to get their policy aligned with their international ambitions. The visa system has to be part of that. There are some modest steps in the right direction, including in the White Paper, but we really think the Government should go a bit further than that.

Paul Blomfield Portrait Paul Blomfield (Sheffield Central) (Lab)
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Q On that theme, I think I am right in saying there are around 450,000 international students in the UK. What proportion of those are from the EU?

Vivienne Stern: There are 442,000 students from all around the world, and just less than a third of those are from the EU. As a proportion of our total student population, that is around 6%. It is a source of significant concern that that enormous pool of talent will find it a bit more difficult to come to the UK after our departure from the European Union.

Paul Blomfield Portrait Paul Blomfield
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Q Vice-chancellors I have talked to across the sector suggest that universities might be planning to lose up to 80% of EU students. Is that a figure that strikes a chord with you?

Vivienne Stern: It is hard to predict. We can see a certain pattern in the response by EU students to previous changes in the UK. For example, with the increase in the fee from £3,000 to just over £9,000, you saw the numbers of EU students decline, and they took quite a while to bounce back. That indicates that there is a certain price sensitivity among EU students. They also have a huge amount of choice in relatively close geographic terms in Europe—other high-quality destinations that they could choose over the UK if we seem to make it difficult for them to come.

My long-term prediction, which is not shared by all our university vice-chancellor members, is that because the UK remains a first or second-choice destination for students who are globally mobile in many countries around the world, over time, we will work back to a position where we are still a very attractive destination for EU students. My real concern is what happens in the short to medium term, where we go from being very attractive, and it is very easy to come to the UK, to putting in place higher barriers in the form of a new visa regime. We could see a significant decrease as a result of that, at least in the short to medium term.

The fundamentals are strong, however. We have a high-quality system, and we offer something that is valuable in the long term. That is what we have to work to communicate to international audiences.

Paul Blomfield Portrait Paul Blomfield
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Q May I return to the question of academic staff? I asked vice-chancellors in Sheffield how many early career academics could not be here if they were subject to the non-EEA immigration rules. They said that something like 600 would have no right to be in the country under that regime. Does that reflect the picture across the country?

Vivienne Stern: To take one group as an example, if you look at staff who are on research-only contracts, 27% are from the European Union. About 8% of them earn less than £30,000. It is not a huge proportion—those are probably people who are very early in their research careers—but it would none the less be a loss to the UK, if you imagine that those people might otherwise have stayed and made their careers with us. Although numerically it may not seem a significant proportion compared with technicians where the proportion is 63%, it should still be a matter of concern.

The other thing, which is perhaps not a matter for this Committee, is that we do well in competitive grant competitions—for example, in competitions for European Research Council funds. I think more than half those awardees are not actually from the UK, but are European nationals who have decided either to bring their grant to the UK or apply from the UK for that grant. If we lost those individuals—if they decided to apply for those same grants from a German or French institution—it would diminish our research base. So it is not necessarily just a matter of the numbers of individuals who might not be able to get visas. There is a knock-on effect that is quite difficult to predict.

David Duguid Portrait David Duguid (Banff and Buchan) (Con)
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Q There has been a great deal of comment about the inclusion of students in the net migration statistics. Does Universities UK have any evidence to illustrate the impact of overseas students on healthcare provision, public transport and that kind of thing?

Vivienne Stern: We have done a bit of analysis as Universities UK on the economic impact of international students. The headline figure is that those students contribute about £29 billion to the UK economy through various mechanisms and create 200,000 jobs—I will write to the Committee with the figures, because I am concerned that I will misquote them.

They have a significant effect not only directly on institutions but on the many parts of the UK economy that they touch, such as taxi drivers, corner shops, bars and restaurants. The university sector is distributed right across the UK. There is almost no part of the UK that does not have a university in some geographical proximity. If you think of it as an industry, it is not one that is concentrated in London and the south-east.

I was in Paisley recently and I went to visit the University of the West of Scotland. I got off the train and the thing that pottered through my mind was, “Why on earth would you not want international students coming to Paisley, spending money in the local economy, enjoying Scotland, going and spending money on the west coast—all the things that those individuals can do in terms of attracting their friends and family to come and spend some time with them?” I think there is really good reason to think that this is not just special pleading for universities; these are attractive individuals for a much broader range of reasons.

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None Portrait The Chair
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Before I bring the Minister in, does any other colleague want to ask anything?

Paul Blomfield Portrait Paul Blomfield
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Q Can I pick up on a point that you touched on earlier, Ms Blackstock, and which we talked about with earlier witnesses—the right of appeal for settled status? The Government have previously suggested that the process would be a relatively straightforward one, with very few areas of discretion. There does, however, seem to be some grey area in relation to how the Home Office might be able to treat those who have not exercised treaty rights, and so there is a potential for refusals that might require challenge. If there is no formal process of appeal, how satisfactory do you both think that the remaining options provided for people—administrative review and judicial review—are in exercising rights?

Jodie Blackstock: The problem with simply relying on judicial review as a mechanism is the difficulty in mounting a judicial review now, as a result of the changes made to access to legal aid prior to permission for judicial review, and the fact that judicial review is not perfect. In order to be successful in a judicial review, you need to demonstrate that the process by which the decision was made was flawed. That does not remake the decision; it sends the decision back to be made again, according to whatever error needs to be addressed. That, in itself, seems to be the most bureaucratic and inappropriate method for what is, as you say, potentially a simple grey area that requires a simple review.

Internal administrative review might be a sensible solution if it was not set against the context of a Home Office that has been struggling, as we know, for the past few years to make decisions in a way that provides public confidence. Without an independent appeal right, we are concerned that that would be all that was available. We are talking about a significant number of people who will apply to this scheme, with every potential for there to be inadequate administrative provision to deal with it, so an appeal right seems pretty important to us.

Gracie Bradley: I agree with that assessment, and I would add that up to half of appeals are successful, so it is all the more vital that people have an appeal right and that they have legal aid.

Caroline Nokes Portrait Caroline Nokes
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Q I think you have both mentioned the Law Commission review and its publication of the consultation paper on how the immigration rules could be simplified. You will not get any argument from me about the idea that the rules could be simpler. I wondered whether you had both responded to that consultation, and whether—in as short a period as possible—you could set out any specific simplifications that you have asked for?

Jodie Blackstock: We did not respond to it, but we have spoken to the Law Commission in general about the need for simplification of procedural rules for people across the justice system. Our report “Understanding Courts”, which we produced a couple of weeks ago, calls for simplification so that litigants in person—or anyone seeking to use our justice system—can understand the system. The fact that immigration rules can be amended so swiftly and there is no requirement for primary scrutiny of those changes is problematic, but at the same time we accept that the rules deal with an incredibly complex set of arrangements, so some careful thought will be required about how to simplify those rules.

Gracie Bradley: Liberty did not respond to that consultation.