UK uni expansion in India to boost economy by £50m

The “major” expansion of British universities in India is expected to deliver a £50m boost to the UK economy, as the government confirmed new international campuses to meet surging demand for higher education.

The University of Lancaster and the University of Surrey have been granted approval to open branch campuses in India, joining a growing network of UK institutions establishing a presence in the country. 

The development was confirmed during prime minister Keir Starmer’s trade mission to Mumbai.

India currently has about 40 million university students, but the number of available places is projected to need to reach 70 million by 2035. It comes as UK institutions are positioning themselves to meet part of that demand by enabling students to study for a British degree without leaving home, creating additional export revenue for the sector.

International education generated more than £32bn for the UK in 2022, including nearly £1bn from overseas campuses. The latest expansion is expected to make the UK the country with the largest higher education footprint in India.

Earlier this year, the University of Southampton became the first British university approved by the University Grants Commission to open a campus in Delhi. 

In addition, the University of Bristol is set to open its first ever international campus next year after being granted approval by the Indian government to create a new campus in Mumbai.

The initiative forms part of the government’s wider international education strategy, designed to strengthen trade and research collaboration with India.

Starmer said: “Our great British universities are admired all over the world for their teaching excellence, high-quality research and commitment to innovation. 

“I’m delighted that more Indian students will be able to benefit from a world-class British education in the near future – strengthening the ties between our two countries while pumping millions back into our economy and supporting jobs at home.”

Education secretary Bridget Phillipson added: “British higher education is world-leading – and this expansion shows its global appeal. Opening new campuses in India will give more young people the chance to benefit from a UK education, while delivering real returns for our universities at home. 

“As we prepare to set out our International Education Strategy, these new campuses are a marker of our ambition: building long-term partnerships that deliver growth, innovation and opportunity for both countries.”