Labour government’s education spending plans spark backlash over NHS workforce sustainability and immigration pledges
The Labour government is facing mounting criticism for freezing funding for nursing and allied health courses, a move that universities and healthcare leaders warn could intensify the NHS’s dependency on overseas workers — directly undermining a key election pledge to build a self-sufficient domestic workforce.
Education Secretary Bridget Phillipson confirmed that per-student funding for vital healthcare courses — including nursing, midwifery, paramedicine, and radiography — would remain at last year’s levels, despite rising inflation and operational costs. The decision forms part of a £108 million real-terms reduction in the Department for Education’s Strategic Priorities Grant.
Chancellor Rachel Reeves is expected to unveil further constraints on higher education in her first comprehensive spending review on Wednesday. While health and defence are tipped to receive increased allocations, universities and apprenticeships are widely expected to bear the brunt of austerity measures aimed at stabilising public finances.
While health and defence are tipped to receive increased allocations in Reeves’ first comprehensive spending review, universities and apprenticeships are widely expected to bear the brunt of austerity measures aimed at stabilising public finances.
The funding freeze has alarmed university leaders, healthcare unions, and opposition politicians alike. Patricia Marquis, executive director for the Royal College of Nursing in England, described the move as “a disaster”, warning that it could lead to the closure of nursing courses already operating under intense financial strain.
“This will make a bad situation worse,” Marquis said. “Universities may be forced to shut down courses, lay off lecturers, and reduce student intake — all at a time when we desperately need to boost the number of homegrown nurses.”
She added that university programmes remain the largest single pipeline into the nursing profession, and without proper investment, the government’s stated aim of reducing reliance on overseas recruitment was at risk of becoming a hollow promise.
Labour’s general election manifesto had committed to ending the NHS’s “long-term reliance on overseas workers” by ramping up training and recruitment within the UK. However, the funding decision appears to diverge sharply from that goal. Critics have highlighted the contradiction, pointing out that reducing resources for training while expecting self-sufficiency is both unrealistic and counterproductive.
Vivienne Stern, chief executive of Universities UK, echoed these concerns, warning of the “detrimental impact” the cuts will have on the future of the NHS workforce. “We can’t create a future-proof health system without long-term, sustained investment,” she said. “This funding decision runs contrary to what the country needs.”
The Department for Education defended its allocation strategy, insisting that it had prioritised funding for “important, high-cost courses” and had made “tough decisions” in light of the challenging financial situation inherited by the new government. A spokesperson said: “We are focused on protecting high-value courses such as nursing and midwifery, but difficult trade-offs have been necessary.”
The funding shortfall comes amid broader pressures in the university sector, with many institutions already implementing cost-cutting measures such as staff redundancies and course closures. The freeze could exacerbate a looming crisis, especially in regional universities where healthcare training is often most essential.
The wider picture also reveals political risks. Shadow Education Secretary Laura Trott accused the Labour government of failing to follow through on its promises. “This proves Labour isn’t serious about cutting immigration,” she said. “By failing to train British workers for British jobs, they’re locking the NHS into deeper dependence on foreign labour.”
The Education Department’s overall budget is under pressure, with schools’ funding ring-fenced and early years provision protected under Labour’s plan to create 100,000 new nursery places. That leaves higher education and apprenticeships particularly exposed, sparking fears that Britain’s long-term economic growth and public service resilience could be compromised.
Health service leaders have long warned that staffing shortages are among the most pressing challenges facing the NHS. While international recruitment has helped fill short-term gaps, experts say the overreliance has left the system vulnerable to global workforce shifts and ethical concerns around poaching healthcare staff from lower-income countries.
As the Chancellor prepares to present the spending review to Parliament, university leaders and healthcare unions are urging an urgent rethink. With the NHS under immense pressure, they argue, cutting off domestic talent pipelines is not just fiscally short-sighted — it may prove dangerously self-defeating.