The Independent Schools Council is a politically independent, not-for-profit organisation representing 1,270 independent schools educating more than 500,000 children. It exists to promote choice, diversity and excellence in education, developing talent at all levels of ability and from all backgrounds.

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Home Office/Foreign & Commonwealth Office Consultation on a New Charging Regime for Immigration & Nationality Fees

12 November 2003

Response from the Independent Schools Council

The Independent Schools Council (ISC) represents 500,000 children in 1,276 independent schools. ISC exists to promote choice, diversity and excellence in education; the development of talent at all levels of ability; and the widening of opportunity for children from all backgrounds to achieve their potential.

Do you think that we should set prices flexibly to take into account wider policy objectives such as attracting international students and people on business?

Prices should certainly be set in such a way that international students are attracted to study in the UK. International students contribute heavily to the UK's economy, paying a higher level of fees at HE level, which in itself supports the education sector. Alongside this, they often work part-time, making contributions (via income tax and National Insurance) which they do not ‘recoup' during their stay as a student. Overall, it has been estimated that the international student market is worth nearly £5 billion a year to the UK economy.

These students, who are highly-skilled and employable may then remain in the UK making ever increasing contributions to UK society and economy. Even where they do not remain in the UK, they are likely to remain in frequent contact with UK industry and spread a positive image of the UK abroad.

The UK should not, however, become complacent in what is a competitive international market for students. The USA, Australia, New Zealand and Japan are understandably competing strongly to increase their numbers. The value gained from a UK education could in many cases be comparable to value gained elsewhere to a student migrant. In this case, further increased costs, and it should be borne in mind that the UK is already an expensive place to live and study, are likely to make the decision to study somewhere other than the UK far easier.

With which of the following statements do you agree:

a) Fees should be set to help promote the UK as a competitive destination

b) Fees should be set according to the same principles, but might vary between the UK and overseas

c) Fees for the same service should be the same in the UK and overseas

Given that Home Office research has shown that legal migrants contribute £2.5 billion more in taxes than they consume in services and have little or no adverse affect on the wages or employment levels of the existing population.[i] As far as possible, UK fees should be set to help promote the UK as a competitive destination. Obviously, in a comparatively strong economy UK fees for application processing services will understandably be higher than those in other countries. The relative prosperity of the UK is what will attract many migrants. However, UK charges should not become an undue barrier to entry where migrants have the skills or willingness to undertake work needed in the UK, but do not themselves come from a prosperous country.

Should employers and educational institutions be able to include payment of visa fees within sponsorship and certificate fees for international employees and students?

Yes, this will make the process both more efficient and transparent.

What help would sponsors need to ensure that they are acting legally in bringing in particular migrants?

Sponsors will need very clear accessible guidance on what is expected of them when bringing in migrants. This guidance should be consulted upon in order to ensure that it avoids ambiguity and maximally relevant to those to whom it is addressed. The benefits of running a help-desk to tackle any queries from the outset should be looked into and as much information as possible be made available online. Equally, migrants themselves will need access to this information in order to ensure that they understand the legal position and role of the sponsor and can assist them as appropriate.

How might any impact on small and medium-sized businesses be minimised?

The simplest way to minimise the impact on small and medium-sized businesses is to create a sliding annual registration scale that takes account of the relative size of the business concerned and the number of overseas students the organisation sponsors.

[i] Home Office press release 12 November 2003