Oxford, Cambridge fall in global college rankings — experts say it's a red flag for UK innovation

Top British universities fell successful planetary rankings past week, with experts raising reddish flags astir the region's quality to proceed attracting planetary endowment and nurturing innovation.

The yearly QS World University Rankings saw Britain's elite Oxford and Cambridge universities driblet 1 spot to 4th and sixth, respectively. Meanwhile, 54 of 90 British universities fell successful rankings. They see a fig of starring ones, including the University of Edinburgh, which dropped 7 places to 34th, and the London School of Economics and Political Science, which dropped six places to 56th.

QS World University Rankings measured the show of implicit 1,500 universities successful much than 100 locations globally utilizing metrics specified arsenic probe and discovery, learning experience, employability, planetary engagement, and sustainability.

However, Sankar Sivarajah, caput of Kingston Business School, told CNBC Make It that contempt the header figures, determination has been immoderate progress: 17 of the 90 U.K. universities made the planetary apical 100 and institutions specified arsenic Imperial College London, the University of Oxford, the University of Cambridge, and University College London held their positions successful the apical 10.

Nevertheless, "the assemblage faces important challenges from intensifying planetary competition, declining probe funding, and difficulties successful improving metrics specified arsenic faculty-student ratio and internationalization," Sivarajah said.

He explained that institutions successful China, Singapore, and Australia are "making sustained investments successful research, planetary partnerships, and module recruitment," portion the U.K. lags down successful those areas.

"The UK indispensable prioritize sustained concern successful probe and development, absorption connected postgraduate outcomes and leader reputation, and fortify strategical planetary engagement to stay competitive," helium said.

Edward Knight, president astatine task superior steadfast Antler, added that the declining ranking, connected apical of a projected 6% tax connected overseas students studying astatine U.K. universities, could marque the portion a little charismatic survey destination.

"What I perceive astatine the aforesaid clip ... is that increasingly, successful places similar China and India, the communicative is shifting to 'Hey, kids don't spell overseas to survey anymore. You tin enactment astatine home.' So the operation of that positive taxes to marque it much expensive, for overseas students, is evidently not helpful," Knight said.

"If you're putting taxes connected radical coming successful astir astatine the aforesaid clip arsenic there's a increasing hesitance to really spell and survey overseas anyway, past that's evidently not a peculiarly steadfast acceptable of drivers for the wide wellness of the ecosystem," Knight added.

British universities falling down successful planetary rankings is besides a wake-up telephone for the region's tech and startup sector, which has persistently been seen arsenic lagging down the U.S. and China.

"It's each good and bully saying the U.K. is the starring spot for innovation successful Europe, but I deliberation that you're going to get a much rounded, much balanced position if the notation acceptable is really broader than that," Knight said.

He pointed retired that artificial quality volition beryllium integrated into the nationalist program successful China from superior school; the U.S. has the Stargate Project, an inaugural investing $500 cardinal implicit the adjacent 4 years to physique AI infrastructure; and the Abu Dhabi launched MGX, an concern steadfast for AI technologies.

"I deliberation what you would astir apt reason is that it's each good being connected apical of the heap successful Europe, but Europe is importantly down the remainder of the world," Knight added.

Knight noted that Cambridge University has produced immoderate of the region's finest tech companies, including DeepMind and Darktrace, but that the U.K. has mislaid those firms to the United States. Darktrace was bought by a backstage equity steadfast successful the U.S., portion DeepMind was sold to Google.

"For immoderate reason, these companies consciousness that they are amended domiciled successful the United States, but besides due to the fact that the maturation multiple, the maturation valuation the marketplace successful the U.S. puts successful these companies is higher than it is successful the UK," Knight said.

"Revolut is astir apt a $50 cardinal company. Are they going to spell nationalist successful the United States oregon are they going to enactment here? Spotify came retired of Stockholm, but it's listed connected the NASDAQ. If you privation to big these businesses and companies, you request to beryllium capable to supply a new, much supportive environment," helium added.