Chaguan Conversations: UK-China Education Links in Transition

In Chinese culture, the teahouse, or 'chaguan (茶馆)', is more than just a place to drink tea; it serves as a space for reflection and the exchange of ideas.

In April 2025, senior leaders from 18 UK universities participated in the UK higher education mission to China, delivered by British Council China , Universities UK International , and UK Research and Innovation China . Continuing our mission tradition, we brought the delegation to a local chaguan to reflect on the evolving educational landscape. Amid tea (or iced coffee) and conversation, we discussed how UK institutions can navigate an evolving China, recalibrating their international education strategies amid economic pressures and geopolitical tensions.

The Changing Picture of China’s Outbound Study

The landscape for UK institutions in China is undergoing significant shifts driven by economic, political, and social dynamics. As China adjusts its diplomatic stance and pursues post-pandemic recovery, UK universities face both challenges and new opportunities.

The Economist Intelligence Unit highlights disruptions in China’s outbound study market, initially triggered by the pandemic and now further impacted by a slowing economy and US-China trade tensions. Chinese families, once a reliable source of international students, are reconsidering overseas study options due to rising costs and diminishing returns on foreign degrees. Graduates increasingly struggle to secure high-paying jobs, particularly in finance and IT, where regulatory measures have curbed wage growth.

Despite these challenges, UK institutions maintain a strong brand presence in China, underpinned by nearly a million alumni and extensive transnational education partnerships. On 11 April, China’s Ministry of Education’s affiliated agency CSCSE released its latest international education blueprint, naming the UK as the top destination for study abroad.

This recognition highlights the UK's enduring appeal and value in international education. The mission also coincided with the 2025 China International Education Conference and Exhibition Tour, where more than 30 UK institutions showcased their programmes to over 20,000 visitors under the #StudyUK banner.

However, as discussed during the mission, UK institutions need to adopt a more comprehensive engagement strategy. This should include targeted employability initiatives that connect graduates with industry partners, academically intensive short-term programmes aligned with sectors like AI and green technology and expanded TNE collaborations in diverse geographic and economic regions within China.

What Good China Strategy Looks Like

A comprehensive China strategy for UK institutions can be shaped around four key pillars: Student Recruitment, Partnerships and TNE, Research, and China Capability. This framework provides a structured approach to aligning institutional strategies with Chinese priorities.

• Student Recruitment: The British Council report 'Undergraduate Recruitment Channels from China and Future Prospects' (2024) emphasises the importance of a differentiated marketing strategy targeting various city tiers. Highlighting university strengths, successful case studies, and unique selling propositions (USPs) can attract diverse student profiles. Strengthening career services, including tailored employability initiatives, internships, and industry partnerships, can further enhance the student experience.
• TNE and Partnerships: The 'Transnational Education in East Asia' report (2024) underscores the importance of responsibly managed TNE partnerships. Expanding TNE programmes into wider regions not only mitigates risks but also aligns with China’s regional development strategies. Institutions may wish to consider leveraging alumni networks to strengthen industry connections and promote TNE initiatives.
• Research: Establishing joint research centres and co-funded projects with Chinese institutions can fortify academic partnerships. Key areas of focus include AI, green technology, and data science, identified as pivotal in China's economic plans. During the mission, the National Science Foundation of China (NSFC) reaffirmed its commitment to international collaborations, with a 2024 budget of 36.3 billion RMB (3.8bn GBP) and a newly established Department for International Programmes to facilitate joint funding and researcher mobility.
• China Capability: Building a sustainable talent pipeline is essential for fostering UK institutions' China engagement. This involves nurturing knowledge, competencies, and confidence to navigate China's regulatory, cultural, and operational landscape. The British Council’s strategic initiatives, including flagship consortia and targeted regional forums, have significantly strengthened collaboration across key disciplines such as health and climate, enhancing the UK's readiness for meaningful engagement.

Reflections from the Mission

Reflecting on the HE mission to China, delegates shared insights underscoring the complexity of the Chinese landscape for UK universities. Missions like these play a vital role in building the UK sector’s China capability, equipping institutions and leaders with the insights needed to engage more meaningfully.

• The UK higher education sector must present a confident, diverse, united, and high-quality education offer, despite financial pressures.
• Strategic, long-term partnerships are essential – spanning education, research, and innovation.
• There is growing interest and opportunity to boost UK student mobility to China and deepen talent exchange in both directions.

Delegates noted a blend of optimism and caution, acknowledging the importance of recalibrating UK-China strategies amid changing dynamics. Many highlighted the need to rethink employability, aligning UK programmes to meet China’s evolving skill demands. The scale of Chinese investment in research and development, particularly through bodies like NSFC and CSC, was a revelation for some, prompting reflections on how UK institutions can better position themselves for collaborative opportunities.

Strategic communication emerged as another key theme, with delegates recognising the need to reposition UK universities not just as recruiters but as global knowledge partners. This narrative could be particularly impactful given the current geopolitical climate and competitive recruitment landscape.

Finally, the mission underscored the tension between opportunity and risk. While there was enthusiasm for deeper engagement with Chinese partners, concerns about regulatory uncertainty and data protection persisted. Delegates noted the need to balance enthusiasm for joint initiatives with prudent risk management, safeguarding both academic integrity and institutional reputation.