A crackdown will begin next month in order to stop migrants using universities as a route into the UK.
The measure could see some universities banned from accepting foreign students if they fail to ensure they are not being used as a back door for migrants to claim asylum in the country.
Institutions will be penalised if fewer than 95 per cent of international students they accept fail to start their course, or fewer than 90 per cent continue to the end.
Also, if more than five per cent of foreign students at a university have their visas rejected, the institution will be sanctioned.
The plans are expected to be announced next month, and will aim to prevent growing numbers of migrants using student visas as a way to enter the UK and later claim asylum.
Last year, 16,000 asylum claims were in relation to foreign students who had originally come to the UK legally on a student visa.
Some of these people then went on to claim taxpayer-funded accommodation and allowances while they waited for the outcome of their asylum application.
According to the Home Office, the majority of students who claim asylum do so as their approach the end of their visa date.
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The Home Secretary is expected to announce sanctions for countries whose citizens abuse visa routes to the UK
Universities performing the worst will be named and have limits imposed on the number of new international students which they can receive until they can show improvements have been made.
Institutions which fail to improve will have their ability to sponsor student visas stripped.
Gaining a legal visa is a common route for people to then claim asylum in the UK.
Last year, 40,000 asylum claims were submitted by people who had come to the country legally on visas, equating to 37 per cent of the total 108,000 asylum claims in 2024.
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‘Targeted visa restrictions work,’ according to the Border Security Minister, Dame Angela Eagle
This number also exceeds the 35,000 asylum applications submitted by small-boat migrants.
The Border Security Minister, Dame Angela Eagle, said: “The evidence is clear: targeted visa restrictions work.
“They protect our borders, reduce pressure on our asylum system, and ensure the immigration system also serves Britain’s interests.
“The UK will always welcome genuine visitors, workers and students, but we will not tolerate this kind of systematic abuse.
“The rules must be respected and enforced, and we will not hesitate to impose even tighter visa controls where necessary.”
Cooper is also said to be putting in place plans to sanctions countries whose citizens routinely abuse Britain’s visa routes.
This means visa applicants from countries such as Pakistan, Nigeria, and Sri Lanka, three countries which have been identified by Home Office officials, will face closer monitoring.
This could include social media investigations as well as the scrutinising of their bank accounts.
The expected announcement of these plans comes as the UK prepares to undergo a limited pilot scheme for a migrant returns deal with France.
Home Secretary Yvette Cooper is expected to sign the agreement on Wednesday, with a trial for the scheme expected to start next month to follow.
This means approximately every week, approximately 50 people who cross the Channel on small boats to enter the UK will be sent back to France.
Described as a “one in, one out” scheme, the UK has agreed to take the same number of asylum seekers through safe, legal means, provided they have not previously tried to illegally enter the UK.
