The UK Home Office is pushing forward with proposals to tighten the rules surrounding the graduate visa scheme, which currently allows international students to stay in the country for up to two years post-graduation, regardless of employment status.

However, this move has sparked internal government tension, with the Department for Education (DfE) reportedly resisting the changes and allegedly urging Universities UK, the sector’s main lobby group, to challenge the reforms.

Proposed Changes to Graduate Visas in 2025

Under the proposed reform, international graduates would be required to secure a graduate-level job to remain in the UK after completing their degree.

Government insiders indicate that a qualifying job would need to pay a minimum annual salary above £30,000, in line with Migration Advisory Committee recommendations.

This proposed change is part of a broader strategy to reduce net migration ahead of an expected white paper from Prime Minister Sir Keir Starmer, aimed at countering political pressure from right-wing parties such as Reform UK.

Education Sector Pushback

The Department for Education has reportedly expressed concern that restricting the graduate visa route could significantly damage UK universities, especially as they face growing financial strain.

The current visa route, introduced in 2021, contributed to a dramatic rise in overseas graduates, from less than 10,000 in 2020 to over 110,000 in 2023.

Vivienne Stern, Chief Executive of Universities UK, warned that rolling back the scheme would be “madness,” highlighting that international students contribute around £40 billion annually to the UK economy.

She emphasised the importance of the two-year window, which gives students time to gain work experience and integrate into the UK workforce.

Home Office Concerns: Low Wages and Asylum Transitions

The Home Office bases its reform push on recent data, showing that:
• Over 60% of graduate visa holders were earning below £30,000 after 12 months.
• A significant number of former international students moved into low-paid sectors, such as social care.
• In 2024, 40,000 asylum claims were lodged by people who previously held a UK visa—40% of whom were on student visas. This number surpasses last year’s 35,000 small boat arrivals.

Home Office officials argue that the transition from student visas to asylum applications is unacceptable, raising concerns over potential visa misuse and fraud.

Balancing Talent and Immigration Control

A government spokesperson stated that the aim is to align migration policy with education and labour market needs, ensuring that immigration does not come at the expense of developing local talent.

Meanwhile, the Department for Education denies any internal conflict over migration proposals but maintains that international students remain a key part of the UK’s higher education ecosystem.

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