Many universities in the UK are facing the threat of bankruptcy, primarily due to a shortfall in international student enrollment, which is crucial for their financial stability. A report released by the House of Commons in May highlighted that the risk of a major university going bankrupt is a "real and present danger" rather than a theoretical concern.

Within the next year, it is estimated that 24 higher education institutions could be on the brink of insolvency. A total of 124 universities are projected to face budget deficits in the 2025-2026 fiscal year unless measures are taken to mitigate risks.

The report indicates that the financial difficulties faced by UK universities stem from lower-than-expected recruitment, particularly of international students, alongside rising costs, substantial debts, and fierce competition. Data shows that the number of international students, who pay higher tuition fees and contribute significantly to university revenues, increased by only 6.3%, falling short of the expected 8.6% growth.

In response to these financial challenges, many universities are implementing cost-cutting measures, including staff layoffs, closing certain programs, freezing hiring, and selling off assets. Currently, the government lacks a clear process for addressing situations where a university is on the verge of bankruptcy, prompting calls for action from the All-Party Parliamentary Group on Education.

The financial situation for education in the UK is further complicated by recent data from the Home Office, which reveals that only 8,900 international students applied for study visas in April, marking a 40% decrease compared to the same month last year. Over the first four months of the year, the total number of applications was 38,800, down 33%.

A survey conducted by educational organizations NAFSA, Oxford Test of English, and Studyportals also indicated a decline in enrollment in the first quarter compared to the previous year, with 42% of the 24 UK universities surveyed reporting a drop. For postgraduate programs, this figure rose to 65%.

Experts believe that the attractiveness of studying in the UK has diminished due to various barriers, including increased visa application fees, a 6% tax on tuition fees, and reduced post-graduation stay periods for international students.

For the 2024-2025 academic year, the UK is expected to have approximately 2.8 million students, of which around 685,000 will be international students, according to the Higher Education Statistics Agency (HESA). Among them, nearly 3,700 are Vietnamese students.