Colleges

Colleges face financial struggles as Trump policies send international enrollment plummeting

One international student after another told the University of Central Missouri this summer that they couldn’t get a visa, and many struggled to even land an interview for one.

Even though demand was just as high as ever, half as many new international graduate students showed up for fall classes compared with last year.

The decline represents a hit to the bottom line for Central Missouri, a small public university that operates close to its margins with an endowment of only $65 million. International students typically account for nearly a quarter of its tuition revenue.

“We aren’t able to subsidize domestic students as much when we have fewer international students who are bringing revenue to us,” said Roger Best, the university’s president.

Signs of a decline in international students have unsettled colleges around the U.S. Colleges with large numbers of foreign students and small endowments have little financial cushion to protect them from steep losses in tuition money.

International students represent at least 20% of enrollment at more than 100 colleges with endowments of less than $250,000 per student, according to an Associated Press analysis. Many are small Christian colleges, but the group also includes large universities such as Northeastern and Carnegie Mellon.

The extent of the change in enrollment will not be clear until the fall. Some groups have forecast a decline of as much as 40%, with a huge impact on college budgets and the wider U.S. economy.

International students face new scrutiny on several fronts

As part of a broader effort to reshape higher education, President Trump has pressed colleges to limit their numbers of international students and heightened scrutiny of student visas. His administration has moved to deport foreign students involved in pro-Palestinian activism, and new student visa appointments were put on hold for weeks as it ramped up vetting of applicants’ social media.

On Wednesday, the Department of Homeland Security said it will propose a rule that would put new limits on the time foreign students can stay in the U.S.

The policies have introduced severe financial instability for colleges, said Justin Gest, a professor at George Mason University who studies the politics of immigration.

Foreign students are not eligible for federal financial aid and often pay full price for tuition — double or even triple the in-state rate paid by domestic students at public universities.

“If an international student comes in and pays $80,000 a year in tuition, that gives universities the flexibility to offer lower fees and more scholarship money to American students,” Gest said.

A Sudanese student barely made it to the U.S. for the start of classes

Ahmed Ahmed, a Sudanese student, nearly didn’t make it to the U.S. for his freshman year at the University of Rochester.

The Trump administration in June announced a travel ban on 12 countries, including Sudan. Diplomatic officials assured Ahmed he could still enter the U.S. because his visa was issued before the ban. But when he tried to board a flight to leave for the United States from Uganda, where he stayed with family during the summer, he was turned away and advised to contact an embassy about his visa.

With the help of the University of Rochester’s international office, Ahmed was able to book another flight.

At Rochester, where he received a scholarship to study electrical engineering, Ahmed, 19, said he feels supported by the staff. But he also finds himself on edge and understands why other students might not want to subject themselves to the scrutiny in the U.S., particularly those who are entirely paying their own way.

“I feel like I made it through, but I’m one of the last people to make it through,” he said.

Colleges are taking steps to blunt the impact

In recent years, international students have made up about 30% of enrollment at Central Missouri, which has a total of around 12,800 students. In anticipation of the hit to international enrollment, Central Missouri cut a cost-of-living raise for employees. It has pushed off infrastructure improvements planned for its campus and has been looking for other ways to cut costs.

Small schools — typically classified as those with no more than 5,000 students — tend to have less financial flexibility and will be especially vulnerable, said Dick Startz, an economics professor at UC Santa Barbara.

Lee University, a Christian institution with 3,500 students in Tennessee, is expecting 50 to 60 international students enrolled this fall, down from 82 the previous school year, representing a significant drop in revenue for the school, said Roy Y. Chan, the university’s director of graduate studies.

The school already has increased tuition by 20% over the last five years to account for a decrease in overall enrollment, he said.

“Since we’re a smaller liberal arts campus, tuition cost is our main, primary revenue,” Chan said, as opposed to government funding or donations.

The strains on international enrollment only add to distress for schools already on the financial brink.

Colleges around the country have been closing as they cope with declines in domestic enrollment, a consequence of changing demographics and the effects of the pandemic. Nationwide, private colleges have been closing at a rate of about two per month, according to the State Higher Education Executive Officers Assn.

The number of high school graduates in the U.S. is expected to decline through 2041, when there will be 13% fewer compared with 2024, according to projections from the Western Interstate Commission for Higher Education.

“That means that if you lost participation from international students, it’s even worse,” Startz said.

Vileira, Seminera and Binkley write for the Associated Press.

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Student digs, colleges & disused tower blocks ‘to replace migrant hotels’ as councils revolt against Keir’s asylum plans

STUDENT accommodation, colleges and disused tower blocks may replace migrant hotels as councils continue to revolt.

The move is part of Labour’s pledge to stop using hotels to house migrants by 2029,

The Bell Hotel in Epping Forest, blocked off by a temporary fence.

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The Bell Hotel in Epping, which was used for housing migrantsCredit: Alamy
Security guard outside the Britannia International Hotel in London.

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Security keep guard for trouble at the Brittania International Hotel in Canary WharfCredit: Gary Stone
Anti-immigration protesters holding Union Jack and England flags.

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Anti-immigration demonstrators display Union Jack and England flags as they gather outside the Cresta Court hotel, in AltrinchamCredit: Reuters

However, nearly 200 hotels are still in use, putting up more than 32,000 people, according to recent figures.

Labour said it no longer wants to house migrants on large sites like military bases.

Instead, it is reportedly planning to use sites which are easier to make habitable and not as expensive to refurbish.

According to Dame Angela Eagle, the minister for border security, the plan is to use “medium-sized” sites like “voided tower blocks, old teacher training colleges or old student accommodation”.

This is because the Tories’ plans to use large sites like former military bases and the Bibby Stockholm barge would be too expensive.

She said the effort of tackling “asbestos-filled buildings and poisoned land” would be too pricey.

“I think that there are different, better ways of trying to achieve this kind of service than the ones that we’ve inherited,” she said.

It comes amid an urgent appeal from the Home Office, reportedly looking for 5,000 properties to house 20,000 migrants.

Prime Minister Sir Keir Starmer is already facing the humiliation of Labour councils revolting against his government’s loathed migrant hotel policy.

Huge pressure from councils run by every political party could hasten the end of the controversial Home Office policy.

Coach-load of asylum seekers SPRINT into 4-star London migrant hotel after protests erupt outside

A total of 32,059 asylum seekers were being housed temporarily in UK hotels at the end of Labour’s first year in Government, up 8 per cent on the same point 12 months ago, Home Office data shows.

But authorities are poised to follow Epping Forest council in Essex after it won a High Court injunction to halt asylum accommodation.

Now, it has been revealed that asylum accommodation contractors working for the Home Office “reached out” to property specialists earlier this month, seeking 5,000 residential units, reports the Telegraph.

Insiders told the outlet that each flat would likely have two bedrooms on average, with space to house four migrants.

ASYLUM SEEKER HOTEL PROTESTS

This Bank Holiday weekend, around 30 migrant hotels are bracing for a wave of protests as campaigners are bolstered by this week’s landmark ruling.

The High Court ordered the removal of migrants from the hotel in Essex, which has become the face of the row over asylum seeker accommodation.

It was the centre of protests after a migrant being housed there was charged with sexually assaulting a teenage girl – which he denies.

Several other demonstrations cropped up around the UK as communities rebelled against the migrant hotels in their area.

It is understood that there is a fresh wave of protests – at least 27 – planned outside of hotels this Bank Holiday weekend.

However anti-racism groups have warned towns and cities could experience the most disruption since last year’s summer riots.

Councils are also pushing back, following the lead of Epping Forest Council, which argued for the hotel to be closed to reduce the threat of “violent protests” and for the safety of those living nearby.

Mr Justice Eyre ruled the owners may have breached planning rules by housing migrants rather than paying customers.

The Home Office argued that granting this application risks “acting as an impetus for further violent protests”.

The High Court ruling threatens Labour’s asylum seeker plans, as more and more councils express an intention to follow suit.

If more councils take action, ministers are unsure where more than 30,000 people in hotel rooms would live.

However Brighton and Hove City Council refused to launch a legal bid, saying it was a “proud city of sanctuary” and will continue to welcome and support asylum seekers.

Jacob Taylor, the local authority’s deputy leader, said “We will not comment on the location of hotels being used by the Home Office to provide temporary accommodation to people seeking asylum.

“I believe to do so in the current climate is irresponsible and risks causing division and unrest in our communities at a time when more than ever we need to bring people together.”

While some county councils will push for the closures, the legal steps to challenge the use of hotels falls to district and borough councils.

The Local ­Government Association called on the Home Office to work “much more closely” with ­authorities on asylum accommodation decisions.

The Home Office is scrambling to find accommodation for up to 138 men housed in the Bell Hotel in Epping before the September 12 deadline to empty it.

Pressed to give details of these contingency options, Minister of State for Security Dan Jarvis said: “With respect, the legal judgment was only handed down yesterday.”

Shadow Home Secretary Chris Philp has written to Yvette Cooper to demand that those in the Bell Hotel are not moved to apartments, houses in multiple occupation, or social housing which is “much needed for British people”.

When there is not enough housing, the Home Office – which has a legal obligation to provide accommodation to asylum seekers who would otherwise be destitute – can move people to alternatives such as hotels and large sites, like former military bases.

Amid hotel protests, campaigners including Rape Crisis and Refuge have warned conversations about violence against women and girls are being “hijacked by an anti-migrant agenda” which they argued fuels divisions and harms survivors.

Protestors holding English flags outside a hotel.

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Protesters outside of The Bell Hotel in EppingCredit: n.c

RECORD NUMBERS OF MIGRANTS

It comes after it was revealed that a record number of people claimed asylum in the UK in the last year – with a massive 32,000 currently living in taxpayer-funded hotels.

Home Office data shows that 111,000 people claimed asylum in the year ending June 2025 up 14 per cent on last year.

It is higher than the previous recorded peak of 103,000 which was set in 2002.

The number of people claiming asylum in this country has almost doubled since 2021.

And just under half of all those applying for protection in the UK are granted it at the initial decision stage – 48 per cent.

It is lower than in 2022 when 77 per cent of those applying were given the green light.

Half of all those came via irregular routes – such as on a small boat or in the back of a lorry – while 37 per cent claimed asylum after previously arriving on a valid visa.

In the year up to March, the UK was the fifth biggest recipient of asylum seekers in the UK after GermanySpainItaly and France.

The sky-high figures come as the number of migrants being housed in hotels has INCREASED since Labour came into power.

A total of 32,059 asylum seekers were being housed in hotels at the end of Labour’s first year in Government up 8 per cent on the same point 12 months ago.

Around 210 hotels are currently open across the UK despite Labour’s manifesto pledge to end their use.

In the year to June, the top five nationalities of people arriving in Dover were Afghan, Eritrean, IranianSyrian and Sudanese.

The High Court judgement explained

HIGH Court Judge Mr Justice Eyre has ruled that the owners of The Bell Hotel – Somani Hotels Limited – might have breached planning rules by housing migrants at the site, rather than paying customers.

After a hearing in London’s High Court last week, Mr Justice Eyre said Somani Hotels Limited had “sidestepped the public scrutiny and explanation” by not applying for planning permission for the migrant hotel.

In his judgement, he said that while the council had not “definitively established” that Somani Hotels had breached planning rules, “the strength of the claimant’s case is such that it weighs in favour” of granting the injunction.

He said the fear of crime being committed by those accommodated there was a “relevant factor”, albeit one with “limited weight”.

In his judgement, he said it is “understandable” that recent arrests “form a basis for the local concern”.

He added: “The arrests have occurred in a relatively short period and have arisen when no more than 138 asylum seekers are accommodated in the Bell at any time.

“The consequence is that the fear said to be felt by local residents cannot be dismissed as solely speculation based on fear of what might happen from an activity which has not yet begun.”

The judge also said that had the hotel owners, Somani Hotels Limited, applied for planning permission, it would have given Epping Forest District Council and local residents a chance to air their concerns.

Philip Coppel KC, for the authority, said the situation was “wholly unacceptable” and provided a “feeding ground for unrest”.

He said: “There has been what can be described as an increase in community tension, the catalyst of which has been the use of the Bell Hotel to place asylum seekers.”

Mr Coppel continued: “It is not the asylum seekers who are acting unlawfully.

“It is the defendant, by allowing the hotel to be used to house asylum seekers.”

He added: “It really could not be much worse than this.”

The judge granted a temporary injunction in his ruling, meaning the hotel has to be cleared of its occupants by September 12.

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