Four in 10 universities face financial challenges
- More than 40% of universities and colleges in England expect to run a deficit in 2024-25 amid worsening financial performance.
- This decline follows a notable drop in international student recruitment caused mainly by visa restrictions introduced in January 2024.
- Many institutions have responded by cutting courses, announcing redundancies, and selling assets to manage growing financial pressures.
- Study visa applications fell 24% in the year to April 2025, with dependant-related applications dropping 83%, intensifying financial challenges for universities.
- Unless reforms and stable visa policies are implemented, the sector faces continued financial deterioration and potential institutional closures despite predicted recruitment growth.
11 Articles
11 Articles


More than two in five universities in England face deficits this year – watchdog
Higher education institutions have announced redundancies and course closures over the past year as a result of growing financial pressures.
Emma Revell: Universities must be made to take a stake in the success - and failure - of their students
Emma Revell is External Affairs Director at the Centre for Policy Studies. Britain’s politicians are awfully fond of the adjective “world-leading”. And nowhere do they throw the label around more than when talking about our universities. But like so many other things in our country, the higher education sector is hardly living up to that label. For one thing, England’s universities are in an awful financial state. Some 40 per cent are expected t…
Over 40% of Universities in deficit - Credit Connect
The Office for Students (OfS) has revealed that financial pressures continue to mount across Universities, with more than 40% now operating in deficit. The new report, which examines the sector’s fiscal outlook for 2024–25, outlines serious challenges that threaten the long-term viability of institutions. The National Centre for Universities and Business (NCUB) has previously raised concerns about the risks now confirmed in the OfS report. Today…
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