Visa changes had 'really big impact' on university
The University of Northampton says it expects to face a deficit of about £19.3m this year
Changes to international student visas have had a "really big impact" on a university which is offering voluntary severance to 500 staff, a higher education expert said.
The University of Northampton announced the scheme "with regret" in light of a predicted £19.3m deficit.
Nick Hillman, director of the Higher Education Policy Institute, said a "40-50% shortfall" in international students was "cutting into a very big part of what they [the University of Northampton] do and their market."
The instituition also cited rising pension costs and repayments on its new Waterside campus for its financial situation.
In January, the government made changes to the law to prevent most international students bringing dependents with them.
Mr Hillman said about 40% of universities in the UK are expected to be in deficit this year.
He said: "They'll get through it, but it's tough. As a country we really bounced back after Covid, and the numbers were really, really healthy.
"Governments have a right to change migration policies and the government chose to do that and it’s having a really big impact on institutions like Northampton."
Capital repayments on the loan to build the Waterside Campus will start next year
The University of Northampton, which has about 12,000 students and moved to the £330m Waterside Campus near the town centre in 2018, will start repaying the capital sum it borrowed to build it from next year.
Mr Hillman said the campus move was a risk, but not an error of judgement.
"I'm a huge fan of it [Waterside Campus]," he said. "I visited the old campus and it literally had buckets collecting rainwater coming through the roof and the student experience there wasn’t good enough.
"When I asked one of the old leaders they said it was an even bigger risk staying in the old campus because people didn’t want to come and study there."
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