US, UK, Canada universities losing appeal? How Indian students' approach is changing — 'brand value' vs ROI

As studies and government data suggest a decline in Indian student enrolments at universities of the United States (US) and the United Kingdom (UK), attention is turning to a broader question: Are traditional and popular study-abroad destinations such as the US, UK, Canada and Australia losing their appeal among Indian students? Are their priorities changing?

Leading experts said the US, UK, Canada, and Australia continue to remain highly "relevant and aspirational", given their established academic ecosystems, global recognition, and strong career pathways.

IDP Education, a leader in global education services, said that despite concerns about visa availability in the US and Post-Study Work (PSW) visa in the UK, students are not deterred. "Instead, we have observed that students are more prepared now and apply early," an IDP spokesperson told Mint.

Brand vs ROI

Karan Lalit, Executive Director – South Asia, TOEFL & GRE, ETS (Educational Testing Service), believed that Indian students’ approach to choosing universities abroad is steadily shifting from "brand-led aspiration to a more informed, outcome-driven decision-making process."

Experts said students today are taking a more informed approach, evaluating factors such as return on investment (ROI), employability, affordability, and long-term career outcomes before making their decision.

"...students are increasingly being viewed through a more comparative and selective lens rather than as automatic choices, with students evaluating multiple options before finalising their destination," said ETS' Karan Lalit.

Meanwhile, the IDP spokesperson said, "In addition, we are witnessing students and families making decisions that are more strategic in nature. Students have become more inclined to enrol in subjects that are relevant to future workplace requirements in areas like STEM, artificial intelligence, healthcare, business analytics, and sustainability."

Indian students 'diversifying' their preferences. Here's why

While the US, UK, Australia and Canada remain popular, students are diversifying their preferences for higher studies, weighing factors such as return on investment, total cost of education, post-study work opportunities, visa stability, and long-term career outcomes.

"Decision-making has become more pragmatic...this has led to greater diversification in preferences, with growing interest in destinations such as Germany, France, Ireland, the Netherlands, UAE, and other parts of Europe," ETS' Lalit said.

Meanwhile, the IDP spokesperson explained that Indian students are showing interest in emerging destinations such as Ireland, New Zealand, Germany, and France due to a plethora of factors.

"It is being driven by a combination of affordability, strong academic offerings, industry linkages, and favourable post-study opportunities," it added.

"For instance, Germany’s relatively affordable tuition, expanding range of English-taught programmes, etc. are desirable for Indian students. New Zealand is attracting students due to its world-class education system, student-friendly learning environment, and good post-study work opportunities. Ireland has a flourishing technology and pharmaceutical sector in the country, a multinational presence, and better post-study work opportunities," the IDP Education explained.

It added that middle-class families are increasingly choosing countries that offer quality education at reasonable costs, along with international exposure, and that align well with job opportunities in the labour market.

"This diversification reflects a more informed and pragmatic approach to international education, where students are looking to find the best fit for their academic and career aspirations in the long run," the IDP spokesperson said.

Has the rush of Indian students to US, UK universities slowed down?

While experts say that tighter visa compliance measures and immigration rules have "deterred" students from applying to the US and UK universities, and that the top-tier destinations continue to "remain highly relevant," data reveal a different story.

In the UK, 76 percent of universities reported a decline in Indian student enrolments for the January intake, while in the US, enrolments fell by nearly 7 percent between February 2025 and February 2026.

India's Ministry of External Affairs cited data in the Rajya Sabha in April this year to flag the "decline of about 6.9% in overall student enrolments in US academic institutions." The ministry confirmed that visa "rule-breaking", increased scrutiny, and compliance requirements have had an impact on the number of US student visas issued to Indian nationals.

Meanwhile, a survey by the British Universities International Liaison Association (BUILA) released in April claimed that 70 percent of UK universities reported a fall in the number of international students starting postgraduate courses in January 2026.

“The findings suggest that the decline is being driven in part by universities taking proactive recruitment decisions ahead of tighter visa compliance measures, but there are also concerns that the Home Office is refusing visas for reasons outside the control of higher education institutions,” the study stated.

Lalit cited the QS Global Student Flows: India 2026 report to claim that the outbound mobility from India "remains strong", with nearly 8,00,000 students currently studying overseas. He said the number is expected to grow at around 4 per cent annually.