1.5M top-tier students, 200,000 seats: Why UK universities are spending millions to expand to India | World News

India is home to about 367 million young people between the ages of 15 and 29, the largest youth population in the world. This also preludes the country’s growing education sector, which caters to approximately 40 million students. While a good number of students head to universities abroad, others are left facing a system of entrances and interviews that even fewer are able to qualify for. According to Aritra Ghoshal of OneStep Global, which helps foreign universities enter the Indian market, “Eleven million students complete Grade 12 [final school year in India] each year, with roughly 1.5-1.7 million falling within the top academic bracket. India’s top-tier institutions admit only about 200,000 of them annually.”The rest of them are the ones being targeted by nine UK universities that are setting up campuses in India following announcements in 2025 during Sir Keir Starmer’s visit to the country. These include University of York, University of Aberdeen, University of Bristol, University of Liverpool, Queen’s University Belfast and Coventry University. The University of Southampton has already opened a campus in Delhi and along with York in Mumbai, it focuses on business, management and engineering programmes. According to the British government’s figures, India has 40 million university students and would require at least 70 million places in the decade to 2035. This positions an incremental market opportunity of 25-30 million seats for British universities. “From an affordability standpoint, an estimated four to five million students can realistically consider degree programmes priced above £10,000 per year,” said Ghosal.This includes the aspirational upper middle class rather than the larger mass market and yet it provides a large enough gap for the British universities to exploit. It was in 2020 when India’s National Education Policy announced that foreign universities would be allowed in the country and the rules for the same were notified in 2023, creating a legal pathway for these institutions to set up shop. According to Lindsay Oades, provost of the University of York, which is setting up its campus in Mumbai’s Powai, the fee would be priced at around 50% lower than it would cost to study at the university’s campus in UK. While the fee will still be more expensive than the private universities, there has been a “quality-justification” for the premium, he said, adding that universities like York follow global standards and focus on demand for employability skills along with industry partnerships. But will all of this be enough to inspire Indian students to let go of going abroad and rather opt for courses at these universities? For years, generations of Indians have saved up money and taken loans to be able to study at foreign universities and increase their employment opportunities. In a conversation with the BBC, Ankita Kejriwal, whose son Vivaan is hoping to study finance and economics in US next year, said that most of his friends and cousins are opting to go abroad primarily for the international work exposure. While an India-delivered UK degree may not be a substitute for these students, tighter immigration policies, such as those in US can definitely squash the will to move and inspire them to register at the institutions at home. “For those seeking brand value with lower financial and visa exposure, it may be an efficient alternative”, said Ghosal. However, enrolment is expected to be in the low hundreds for the beginning years. Growth will typically occur over a five-to-seven-year horizon once alumni outcomes become visible and employer acceptance for these students stabilises as enrolment decisions are increasingly outcome-driven in India, according to Ghosal.Moreover, these campuses will be expected to maintain UK academic standards while operating on Indian price points making the execution of the programmes and infrastructure even more of a herculean task. However, if succeeded, these universities can expect returns in billions, considering that Indian students spent $5.3 billion in studying in British campuses abroad in 2024.