The Home Office confirmed that universities must now meet higher compliance thresholds if they want to keep sponsoring international students.

Officials say the changes are designed to close gaps in the system while keeping the UK open to genuine applicants.

Under the revised policy, universities will need at least a 90% course completion rate for international students, up from 85%. They must also ensure a 95% enrolment rate, compared with the previous 90%.

A visa refusal rate will also be monitored more closely, capped at below 5%, down from 10%.

These result from issues with how some students use study visas. In the year ending March 2026, 10,835 people who entered the UK on study visas went on to claim asylum.

That is a small share of total student visa holders, but officials say the pattern needs stronger supervision.

The UK issued 409,954 sponsored study visas for international students in the same period. That is lower than the 498,626 recorded in the peak year ending June 2023.

The decline followed earlier restrictions, including limits on dependants for international students.

The Home Office will also introduce a traffic light rating system for universities from summer 2027. Institutions will be placed in green, amber or red categories based on compliance levels.

Green-rated universities will retain full sponsorship rights, while Amber status will bring closer monitoring and reputational warnings. Red-rated institutions will face limits on international recruitment and must fund a 12-month improvement plan.

If they fail to improve, they risk losing the right to sponsor international students entirely.

Minister for Migration and Citizenship Mike Tapp defended the policy direction and said the government still values international students.

“The UK will always welcome genuine international students, and our universities are rightly admired around the world, but our visa system must not be used as a backdoor to asylum and illegal working,” he said.

He added: “Student asylum claims are down 30% in the last year. I thank the sector for their co-operation in achieving this, but we must go further.

“Those seeking to game the system should know we are watching, and won’t hesitate to act.”

The government is currently tracking how different nationalities use study and other legal visa routes. Pakistani nationals accounted for the largest share of asylum claims in the latest reporting period, with many entering through legal visas.

Eritrean nationals were more often recorded arriving through irregular routes, including small boat crossings. Iranian and Afghan nationals also featured prominently in asylum figures.

Nigeria was not among the top nationalities in the most recent breakdown. However, Nigerian asylum applications have grown over time.

Between 2010 and 2024, Nigerian nationals submitted 22,619 asylum claims in the UK. That placed Nigeria 11th among all nationalities during that period.

Applications also surged in recent years, increasing from 1,462 in 2023 to 2,841 in 2024.

Universities are already feeling the pressure from earlier immigration changes. A restriction introduced in 2024 limited international students from bringing dependants. That change contributed to a fall in study visa grants.

The government has also taken targeted steps against specific countries, including suspending study visa routes for nationals of Afghanistan, Cameroon, Myanmar and Sudan at different points due to asylum concerns.

Universities warn that the financial impact of reduced international enrolment is already visible. Higher education institutions rely heavily on overseas tuition fees, which generate about £37 billion annually for the UK economy.

Professor Malcolm Press CBE DL, president of Universities UK, said the sector supports efforts to protect system integrity but warned against instability.

“International students bring significant economic and soft power benefits, contributing £37 billion in export earnings. We want the UK to remain open and welcoming, but that depends on responding quickly to any risks of abuse.

“What universities need from government is policy stability, transparent visa decision-making, and real-time data to act on emerging concerns. 

“The sector relies on international student income, and recent sharp declines have led to substantial cost-cutting and job losses. It is essential that we build a fair, stable, and transparent system that works in the national interest.”

Immigration, Refugees and Citizenship Canada (IRCC) has confirmed it will stop issuing new Start-Up Visa commitment certificates after December 31, 2025, and has already suspended applications for SUV-linked work permits. 

In practical terms, that shuts out most new founders from the scheme with immediate effect.

This follows months of challenges inside Canada’s business immigration system. By late 2025, the Start-Up Visa queue had grown to more than 6,700 pending applications, with processing times stretching beyond three years. 

Officials now admit the programme had become too broad, producing uneven results and limited job creation in some cases.

From Ottawa’s point of view, the pause is about control and reset. IRCC says it needs space to clear existing files and redesign how it attracts foreign founders. 

The replacement, due in 2026, will sit under Canada’s Talent Attraction Strategy and is expected to focus on entrepreneurs with stronger funding, clearer business plans and a higher chance of long-term economic impact.

What changes right now is simple. Only founders already in Canada on SUV-specific work permits can apply for extensions, and they will be prioritised for permanent residence if they fall within annual immigration targets. 

Anyone hoping to enter the programme afresh after 2025 will be turned away, with one narrow exception. Entrepreneurs who secure a commitment certificate before the end of this year but have not yet filed an application can still do so, provided they submit by June 30, 2026.

Beyond that window, the door closes. IRCC has also kept its suspension of the Self-Employed Persons Program, signalling that Canada is rethinking business immigration as a whole, not just the Start-Up Visa.

Canada’s 2026–2028 Immigration Levels Plan aims to steady permanent resident admissions at around 500,000 a year while cutting back temporary residents. The federal government has capped international student intakes, introduced provincial quotas, and raised settlement fund requirements for skilled workers. 

According to IRCC, the number of study permit holders fell from over one million in early 2024 to about 725,000 by September 2025.

For foreign founders, options still exist, but they are more fragmented. Provincial Nominee Program entrepreneur streams remain open in provinces such as British Columbia, Ontario and Alberta, usually tied to local investment and job creation. 

Tech founders can still use the Global Talent Stream to enter quickly if they are expanding an existing business. Others continue to rely on study routes as a bridge to permanent residence.

Investors and designated organisations backing Start-Up Visa candidates worry about stalled funding pipelines and stranded founders. Pending applicants face hard deadlines, and anyone outside the system must now wait for details of a pilot that promises to be tougher and far more selective.

Canada still wants entrepreneurs, but fewer of them, and only on terms it believes will bring economic returns.