Latest news with #ScottishGraduateVisa
The Herald Scotland
27-05-2025
- Politics
- The Herald Scotland
SNP 'still in the dark on £85m international student tax'
Initially, the UK Government said the proposal would be a matter for consultation with the Scottish Government, but later changed its position saying it would only be brought in north of the Border if it was the policy of the devolved administration in Edinburgh. Now, the SNP appears to be in the dark about the remit of the tax and point out Scottish universities have already been hit with a new bill of £30m because of the UK Government's increase to employer national insurance contributions. READ MORE: Winter fuel payments to more pensioners expected in coming weeks Sturgeon: 'If trans lives become almost impossible to live then law has to change' Universities facing £85m bill from UK foreign students tax Universities will not pay £85m foreign student tax The party says it urgently wants Labour ministers to give clarity on the matter and that the UK Government has had no engagement with the Scottish Government on the issue or provided any direct assurance that the levy will not apply in Scotland. Prime Minister Sir Keir Starmer announced the new 6% tax on foreign students earlier this month as part of his crackdown on immigration, with critics accusing him of unveiling the measures in response to the success of Nigel Farage's populist right Reform UK in the local elections in England. Education is a devolved issue while migration legislation is reserved to Westminster. "We had the unedifying spectacle of Keir Starmer dancing to Nigel Farage's tune on immigration as he announced plans which are completely out of sync with Scotland's needs and values," SNP MSP Bill Kidd told The Herald. SNP MSP Bill Kidd (Image: Andrew Cowan) 'Labour's damaging migration plans are a direct threat to Scotland's NHS, our economy and our universities. 'The UK Labour Government has already slapped our universities with a £30m bill with their reckless decision to hike employer national insurance contributions. 'Our universities have now been left in limbo not knowing if they are faced with a further bill of £85m directly due to Labour's political choices, whilst they also face the prospect of finding it harder to attract international students." Mr Kidd called for the Prime Minister to "urgently provide clarity" on whether the proposed tax on international students will apply in Scotland and urged him to say if he would consider introducing "a Scottish Graduate Visa". The Scottish Graduate Visa policy was unveiled by First Minister John Swinney in January and would allow overseas graduates at Scottish universities to live and work in Scotland for up to two years allowing employers in Scotland to benefit from their skills while generating income for public services through their taxes. 'Keir Starmer must urgently provide clarity on whether this proposed tax on international students will apply in Scotland, whether he will look again at introducing a Scottish Graduate Visa, and whether he will listen to experts from across various sectors and ditch his damaging anti-immigration agenda," he said. Scotland faces significant population challenges, including a falling birth rate, an ageing population, and declining population in certain rural areas. While migration has helped to offset these declines, the future impact of decreased in-migration due to factors like the ending of freedom of movement from the EU post Brexit is a key concern. As well as allowing international students to live and work in Scotland for two years after graduation, the Scottish Graduate Visa would allow them to work towards a Skilled Worker Visa, encouraging and enabling the best international talent to remain in Scotland. Several Scottish universities are facing acute financial challenges and major job losses. Last week University of Edinburgh staff voted for industrial action, which could include strikes, as the institution refused to rule out compulsory redundancies. The university is looking to cut £140m from its budget, plans for which would include cutting staff, selling buildings and merging schools. Meanwhile, around 300 jobs will be cut at Dundee University - down from an initial estimate of 700- following a £35m budget gap, while up to 70 jobs could be lost at the University of Aberdeen if the institution doesn't raise enough revenue to reduce its £5.5m financial black hole. The crisis has led to debate over whether the Scottish Government policy of free tuition for Scottish students should continue. On Saturday Andrew Cubie, the author of a report published in 1999, which paved the way for free tuition, said in an interview with The Times free tuition was no longer affordable in its present form and was failing to retain some of the country's best students. 'We've got to start thinking the unthinkable,' he said. 'The unthinkable is there'll be less money, not more money, so what do we do with less money? That raises the question of how many universities, how many colleges do you need? What should the private sector be contributing to this? And why, with free tuition fees, has Scotland not gained an edge in attracting students from less advantaged backgrounds?' The former lawyer said a cap on Scottish student numbers meant some of the best qualified students were looking elsewhere for university places. A UK government spokeswoman said: "The international student levy will not apply in Scotland unless the Scottish Government decides to introduce it.' It is understood the UK Government has written to Universities Scotland, the organisation representing Scottish universities, to say the tax will not apply in Scotland unless the Scottish Government decides to introduce it. Scottish universities sources have told The Herald they have been given "verbal assurances"from the UK Government the international student tax won't apply to them unless the Scottish Government bring it in. The Scottish Government has previously said it will not introduce it. A Scottish Government spokesperson said: 'Scottish Ministers have directly raised concerns with the UK government about the lack of clarity on the proposed levy on international students and if it will apply to universities in Scotland. No formal clarification has been given.'
The National
26-05-2025
- Business
- The National
Labour urged to confirm if student tax applies to Scotland
Keir Starmer announced plans to impose a six per cent levy on funds generated for universities by international students amidst his crackdown on immigration, with reports estimating the tax hike could cost Scottish universities £85 million per year if implemented. Scottish universities have been 'left in limbo' regarding the levy, with education being a devolved power but immigration still controlled by Westminster, and further education officials have joined the growing backlash against Labour's proposed immigration reforms. READ MORE: SNP file formal complaint over 'race-baiting' Reform UK ad Claire McPherson, Director of Universities Scotland, said: 'We urge the UK Government to think carefully about the impact that a levy on international student fees will have on universities, and the attractiveness of the UK as a study destination. 'We'd hope to see the UK Government defer a decision on the applicability of any levy in Scotland to the Scottish Government, reflecting the fact that university funding is devolved.' The SNP continues calls for a Scottish Graduate Visa, which would allow international graduates from Scottish universities to work and contribute to the economy for two years whilst working towards a Skilled Worker Visa SNP MSP Bill Kidd said: 'Last week we had the unedifying spectacle of Keir Starmer dancing to Nigel Farage's tune on immigration as he announced plans which are completely out of sync with Scotland's needs and values. 'Labour's damaging migration plans are a direct threat to Scotland's NHS, our economy and our universities. 'The UK Labour Government has already slapped our universities with a £30 million bill with their reckless decision to hike employer National Insurance contributions. 'Our universities have now been left in limbo not knowing if they are faced with a further bill of £85 million directly due to Labour's political choices, whilst they also face the prospect of finding it harder to attract international students. 'Keir Starmer must urgently provide clarity on whether this proposed tax on international students will apply in Scotland, whether he will look again at introducing a Scottish Graduate Visa, and whether he will listen to experts from across various sectors and ditch his damaging anti-immigration agenda.'
Edinburgh Reporter
23-05-2025
- Business
- Edinburgh Reporter
First Minister to tell Prime Minister to reinstate winter fuel payment for all
The First Minister, John Swinney, is in London today at the UK Government's Council of Nations and Regions. Mr Swinney will tell the Prime Minister that the Winter Fuel Payment must be restored. Mr Swinney said ahead of the meeting that the UK needs a national mission to raise living standards and provide people with hope that things will get easier, starting with the restoration of a Winter Fuel Payment to all pensioner households. He said he will press for action to help people struggling with the ongoing cost of living crisis, amid increasing inflation and international economic instability, and that the first action of the UK Government must be to accept the cut to the Winter Fuel Payment was wrong, and announce a restoration so all pensioners get a payment. The First Minister said people need to believe things can get easier and that he plans to raise specific concerns relating to Scotland's economy with the Prime Minister which could help accelerate economic growth. This includes the impact on Scotland of the recently announced UK-US trade deal, the agreement reached with the European Union, Carbon Capture and the case for a bespoke migration policy for Scotland. Mr Swinney will be in London for a programme of meetings, including a bilateral with the Prime Minister, a multilateral with the First Minister of Wales, First Minister and deputy First Minister of Northern Ireland, and a plenary session of the Council of Nations and Regions. Mr Swinney said: 'People across the UK are living through a period of huge uncertainty and for some, that is undermining the trust they have in government. 'Cutting the winter fuel payment saw the UK Government breaking promises and removing vital financial support for some of the most vulnerable in our society. Having effectively conceded the argument by announcing a partial U-turn, the Prime Minister should accept the cut was wrong and restore a universal winter fuel payment. 'In Scotland, we are introducing universal winter heating payments through our Cost of Living Guarantee. This will see payment made to all pensioner households, with the poorest receiving the most support which is fair amid ongoing pressures. 'If the UK government want to provide people with hope that things will get easier, the Prime Minister should restore the winter fuel payment as part of a new national mission to raise living standards. 'I will raise this issue with him alongside other critical issues, including our proposal for a Scottish Graduate Visa, Carbon Capture and what impacts recent trade deals will have on Scottish producers and businesses. 'We are willing to work with him and the UK Government, but the question is whether he is willing to work with Scotland and give people hope that a better future is possible.' Like this: Like Related
The Courier
25-04-2025
- Business
- The Courier
Dundee University could gain from MP's immigration bid
Arbroath and Broughty Ferry MP Stephen Gethins says his attempt to devolve immigration rules to Holyrood can help local business and Dundee University. Mr Gethins spoke to The Courier before a debate in Westminster about his aim to change the law. If supported by MPs, it would allow the Scottish Parliament to take control of the migration system. The SNP has long argued this is necessary because Scotland has different needs to the rest of the UK — including a reliance on migration for population growth. First Minister John Swinney also asked the UK Government to create a 'Scottish Graduate Visa'. He says this would increase how attractive Scotland is to international students as universities across the UK experience a significant reduction in fee-paying foreign recruits. Speaking to The Courier, Mr Gethins said his attempt to change the law could have a wide benefit. He said: 'This is an issue that has been endorsed not just by the SNP but something that over time was argued for by Scottish Labour, the Scottish Liberal Democrats and Brexiteers like Michael Gove. 'We've heard from sectors that are really important across Courier Country, such as the hospitality sector, about the importance of getting some kind of decentralisation of the migration system so we can have specific solutions that are more geared to different parts of the UK. 'We've seen the devastation that has been wrought by the hostile environment.' Think tank Reform Scotland, chaired by former first minister Lord Jack McConnell, also backed an independent Scottish visa scheme. Writing before the election, he claimed there is a 'danger Scotland's needs will be overlooked'. Mr Gethins added: 'These powers are essential for Scotland's economy – and, yet, they have been talked about for far too long with no action from the UK government. 'The UK government's own analysis shows Westminster's Brexit and hostile migration policies are not working for Scotland. Brexit has caused damaging staffing shortages across the NHS and key Scottish industries, including agriculture, hospitality, construction and higher education. 'There is wide consensus that Scotland needs a tailored system to secure our future prosperity. Without these powers, Scotland will be at a significant disadvantage in meeting the challenges our economy and public services face.' A UK government source said: 'UK Visas are nationwide. They are regularly tied to workplaces or universities. 'The SNP withdrew this policy as an amendment to the Labour Government's Borders Bill in March. The SNP should be focused on making Scotland a more attractive place for workers coming to the UK in the first place but after 20 years it's clear what Scotland needs is a new direction at Holyrood. 'As part of Labour's plan for change we are growing living standards, securing our borders and delivering more opportunities for our young people.'
