Immigration experts at Birmingham based DBS Law are warning that Government plans to restrict visas to foreign students will have a dramatic effect on the economy around Birmingham and the West Midlands. The Government intends to cut the number of visas granted to students wishing to come and study in the UK by 230,000 a year as part of its target to reduce net migration by 50% by 2015. 

DBS Law Head of Immigration, Sejal Karavadra, points out that the cuts will mean an end to a valuable income streams for educational institutions in the region causing them to cut courses and increase fees to domestic students. The general economy will be affected as demand for rented accommodation drops and the lack foreign students expenditure in the region will add to the woes of the retail sector in the West Midlands.

Whilst the changes will affect every area of the UK but, Sejal Karavadra argues, it will have a disproportionate effect on the Midlands. "The West Midlands is highly desirable region for foreign students, we have a very diverse ethnic and cultural mix in our population, and it's easy for them to feel at home here. Also living costs are much lower than in London making the region a very competitive as a base for studying. 

 "The savage cuts in student visa allocation will choke off the recent foreign investment in rental property that was our best hope from getting the economy back on its feet. We will likely see a fall in revenue into our area to the tune of £0.5 billion a year which will only add to unemployment in region already the highest in the UK standing at 11%.

"The Governments proposals for cutting immigration are racism dressed up as economic prudence.  If strip away the economic arguments for reducing foreign student numbers and you're left with raw racism," said Sejal Karavadra Head of Immigration at DBS Law.