Online Degree Recognition, Clear tax regulations key to foreign universities operations in India: British Council Report

The report states UK universities continue to find overlapping regulatory conditions with three regulatory bodies in India and a lack of information related to financial matters, the key challenges to operating and expanding TNE provision in India.

A report by British Council has suggested for recognition of online or distance learning degrees provided by foreign universities. The report also suggests making available clear guidelines on taxation for foreign universities seeking to establish collaborations in India, at both national and state levels.

The Government of India in the Budget announced that foreign universities setting up campuses in GIFT City in India will be free from local regulations and also get other benefits. The British Council report ‘Exploring the Outlook for UK-India Transnational Education Partnerships’, evaluates the prospects for UK transnational education (TNE) in India and makes a number of recommendations for advancing UK-India TNE in the future as a result of NEP-inspired changes.

The report suggests establishing mixed-departmental steering groups for TNE operations between UK and Indian universities. It also suggests considering establishing clear guidelines for due diligence processes including best practice guides.

Joint, dual degrees by Indian-UK Varsities

UK universities see India as one of the priority markets for their internationalisation strategies, which can include TNE, student recruitment and research and knowledge exchange. The UK and Indian governments have signed a memorandum of understanding (MoU) on mutual recognition of academic qualifications, including bachelor’s, master's and doctoral degrees. Indian upper secondary qualifications will be recognised as meeting entry requirements for the UK higher education institutions (HEIs).

Joint or dual degrees in the 2+1 or 2+2 form for undergraduate degrees with a period of study in the UK, is the most desired form of TNE for UK and Indian university leaders, as well as Indian students, according to the research conducted for this report. However, new Indian regulations stipulate that for joint and dual degrees, at least 30 per cent of the course credit should be undertaken at the foreign institution (which would translate to slightly under one academic year for three-year programmes, or slightly more than an academic year for four-year courses).

The UGC, AICTE, and AIU have proposed, or are currently proposing, measures to improve the opportunities for TNE collaboration between UK and Indian universities. However, these do not address all the UK sector’s concerns. “New regulations governing joint and dual degrees, and mutual recognition of qualifications have generated a sense of purpose moving forward,” it states.

Mapping of TNE provision in India shows that there is significant potential for developing TNE in several states such as Madhya Pradesh, Uttar Pradesh, Bihar, Odisha, West Bengal and the seven states of Northeast India. Currently, TNE provision is concentrated in the Delhi National Capital Region (NCR), Greater Mumbai, Karnataka and Tamil Nadu.

Regulatory conditions have been made easier for the development of joint and dual degree transnational education (TNE) partnerships in India, for universities in the top 1,000 as ranked in QS or THE World Rankings.

There are still more reforms to be undertaken for the proposals set out in the NEP to be realised. At present, UK universities continue to find overlapping regulatory conditions with three regulatory bodies in India, bureaucracy, and lack of information related to financial matters, the key challenges to operating and expanding TNE provision in India.

The online learning degrees awarded by foreign universities remain unrecognised. Franchise arrangements will also not be recognised as per the latest UGC regulations.

The Report reads: “Indian universities feel that their faculty members can learn new skills from UK TNE relationships related to curriculum and assessment design, teaching and learning approaches, and imparting employability skills to students.”

Lower fee setting and taxation

UK universities feel that there are financial challenges in initiating and maintaining TNE in India. This includes lower fee setting and taxation at national and state levels. There are different priorities depending on the type of UK institution involved; for example, post-92 institutions are more likely to scale TNE operations in India as TNE revenue is more central to their internationalisation strategies. Research-intensive universities are less likely to do so, as they have less reliance on TNE income, and will only seek TNE opportunities where value is added to reputational and strategic goals.

Transparent Indian HE regulatory system

It further states that for encouraging further UK TNE development in India depends on a number of factors, including further liberalisation and transparency of the Indian HE regulatory system, as well as further market research by institutions to determine market demand by geographical area and subject. However, where the NEP has prioritised making conditions of collaboration easier for globally ranked top 1,000 universities, this covers between 76 to 93 UK universities according to the 2022 world rankings of QS and THE respectively.
Foreign universities will have to hold a top 1,000 ranking at the time of application to undertake joint, dual or twinning programmes. Many additional UK universities are interested in developing TNE in India, and they may also offer greater technical and vocational education and training (TVET) expertise than higher-ranked universities; many post-92 universities have roots in technical and vocational education.

This report explores the outlook for UK – India transnational education (TNE), assessing the challenges and opportunities for future growth. TNE is defined as ‘education delivered in a country other than the country in which the awarding institution is based.

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