The agreement, announced in December 2025, will restore reciprocal student mobility between the UK and the EU. British students will once again be able to study, train or work abroad for up to a year as part of their degree, while EU students can undertake short-term exchanges at UK universities. The move reverses the UK’s 2020 exit from Erasmus, when it was replaced by the government’s domestic Turing scheme.
As Times Higher Education reports, the return of Erasmus has been widely welcomed across the sector. Vivienne Stern, chief executive of Universities UK, described the agreement as “an important step in rebuilding long-standing academic and cultural links with our European partners”, highlighting the role of mobility in supporting student experience and institutional collaboration.
However, the policy shift comes with clear limits. While Erasmus restores opportunities for short-term exchange, it does not reinstate the home-fee status that EU students previously held when enrolling on full degree programmes in the UK.
What Has Changed for EU Student Fees Since Brexit
Before Brexit, EU students studying full degrees at UK universities were treated the same as domestic students, paying home-level tuition fees and, in many cases, accessing UK student loans. That arrangement ended for new entrants from the 2021-22 academic year.
Since then, most EU students have been classified as international fee-payers unless they hold settled or pre-settled status, with tuition fees rising to align with those charged to other overseas students.
The impact on recruitment has been significant. Data from the Higher Education Statistics Agency shows EU student numbers more than halved in the years following Brexit, falling from around 153,000 in 2020-21 to just under 75,000 in 2023-24.
Why Erasmus Still Matters to Universities
For many institutions, particularly mid-tier and teaching-focused universities, the return to Erasmus is less about immediate fee income and more about rebuilding pipelines, partnerships, and visibility within Europe. As Times Higher Education has noted, these universities experienced some of the sharpest declines in EU students following Brexit and are therefore likely to feel the benefits of restored mobility most acutely.
Exchange programmes can indirectly support recruitment, strengthening institutional relationships and restoring campus diversity, even if they do not translate into large numbers of full-fee EU enrolments in the short term.
The Financial Reality
Under the Erasmus framework, EU students on exchange placements do not pay UK tuition fees, reflecting the principle that students remain registered and fee-paying at their home institution. As a result, the direct financial impact of Erasmus on university income is likely to be limited.
This has fuelled debate over whether the programme can meaningfully support long-term recruitment or revenue growth. Many in the sector argue its value lies in restoring trust, re-establishing academic networks and repositioning the UK as an open and collaborative higher education destination.
Looking Ahead
The UK’s return to Erasmus represents a shift from the immediate post-Brexit settlement but stops short of reversing the broader structural changes facing EU students. For prospective applicants, it reopens familiar routes for study abroad while leaving the cost of full UK degrees largely unchanged.
For universities, Erasmus adds another strategic tool in an increasingly competitive global market, supporting mobility, partnership and international engagement alongside existing recruitment strategies.
If you’re thinking about how the return to Erasmus might affect your student recruitment or European engagement, we’re always happy to have a conversation. You can contact kim.mclellan@hunterlodge.co.uk.