Policy & Fees · United Kingdom

UK International Student Levy: What Indian Students Should Plan For

A new government impact assessment says the £925-per-student levy will cost UK universities more than expected, and most may pass it on to students. Here is what it means for your UK plans.

By Globro · Updated 01 Nov 2026 · 5 min read
Quick Answer

The UK is applying a £925 levy per international student. A new impact assessment (28 Oct 2026) expects universities to lose £1,010m in fees over three years, and most institutions to pass the cost on to students. Separately, the 2026 Budget proposes a two-year Graduate Route again for graduates of high-compliance universities, with details still unclear.

Ask Globro: How will the levy affect my UK budget?
01

What the New UK Levy Assessment Says

According to The PIE News (28 Oct 2026), an updated UK government impact assessment shows the UK international student levy of £925 per international student will hit universities harder than first thought.

  • Expected fee loss for UK providers in the first three years: £1,010m, up from an earlier estimate of £900m.
  • Expected levy revenue: £1,340m, down from £1,390m in the 2025 assessment. The money is meant for maintenance loans for domestic students.
  • About 11,500 fewer international students are expected in the levy's first seven years (the 2025 estimate was 16,500).
Ask Globro: Is my target UK university affected?
02

Will UK University Fees Rise for Indian Students?

The assessment expects most institutions to pass the levy cost on to students. That means UK university fees for Indian students could go up for future intakes, depending on each university.

The impact will not be equal. The assessment describes a tiered picture: Oxford, Cambridge and Imperial at the top, the rest of the Complete University Guide top 20 next, and lower-ranked institutions below. Higher-tier universities are expected to pass on more of the cost without losing many students.

The government also says future international student numbers are "inherently uncertain", because they depend on competitor countries, exchange rates and the wider economy.

Ask Globro: Which UK universities fit my budget?
03

Graduate Route: A Possible Return to Two Years

On the same day, the 2026 UK Budget included a line to bring the UK Graduate Route back to two years for graduates of high-compliance universities with strong job outcomes. The details are not clear yet.

This matters because the standard Graduate Route is currently due to be shortened to 18 months for applications made from 1 January 2027 (check GOV.UK for the latest rules). If the Budget plan goes ahead, the university you choose may affect how long you can stay and work after your degree.

Ask Globro: Which universities count as high-compliance?
04

What Indian Students Should Do Now

  1. Shortlist universities and check their latest fee pages for 2027 entry.
  2. Add a buffer to your budget in case the levy is passed on through higher fees.
  3. Look at each university's visa compliance record and graduate outcomes, since these may decide high-compliance university status.
  4. Follow GOV.UK for official Graduate Route details before you commit.
  • Personal UK cost estimate with the levy
  • Universities with strong graduate outcomes
  • Graduate Route timeline for your course
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Next, read the UK student visa requirements for Indian students.

05

Timeline: What Happens Next

WhenWhat
28 Oct 2026Updated levy impact assessment published; Budget mentions a two-year Graduate Route for high-compliance universities
31 Dec 2026Last date to apply for the current two-year Graduate visa (per GOV.UK)
From 1 Jan 2027Standard Graduate Route set to become 18 months
To be confirmedDetails of the high-compliance two-year route and how universities pass on the levy

Frequently Asked Questions

It is a £925 charge per international student applied to UK universities. The money is earmarked for maintenance loans for domestic students. Ask Globro about the levy.

The levy is charged to universities, but the government's assessment expects most institutions to pass the cost on to students, for example through fees. Check your fee impact.

The 2026 Budget proposes two years for graduates of high-compliance universities with strong job outcomes. Details are still unclear, so check GOV.UK. Ask about post-study work.

Yes, if the course fits your goals, but compare fees, graduate outcomes and compliance records, and keep a budget buffer. Build my UK shortlist.

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