EU ambassadors in Brussels heard that the UK is still insisting on international tuition fees, quotas and the £1,035 NHS surcharge for EU students, fuelling fears the summit could fail. The UK is pushing for a cap of about 50,000 a year on EU citizens arriving under the mooted youth experience scheme (YES) visas, while some member states want the cap as high as 500,000 and others want no cap at all. A 25% discount on the NHS surcharge has been suggested.
Negotiations on the food and drink trade deal and the emissions trading system are almost complete, but the youth mobility scheme remains divided. Sources say there is near-agreement on the National Farmers' Union demand that crops grown with fungicides not yet approved in the EU could be sold in the bloc under a transition arrangement in the sanitary and phyto-sanitary agreement. A fourth issue, reintegration into the EU's energy market, will continue after the summit.
Tuition fees are the thorniest problem. UK universities are pressing the Labour government to keep full international student fees for EU citizens, which can run to £69,190 a year at Oxford. One diplomat said there was an "emerging consensus" around a European Commission proposal to take tuition fees out of the package altogether, with wording in the 20 November joint statement committing both sides to negotiating a solution by May 2027. The landing zone is thought to be somewhere between home fees of £9,790 and the average international fee, but universities outside the Russell Group say they cannot afford to drop fees for EU citizens.
Divisions also remain over how a cap would work, amid fears in "red wall" constituencies that it would be seen as opening the gates to workers from less wealthy EU countries such as Bulgaria; a per-country cap has been suggested. France is arguing for an "all or nothing" approach, questioning why the UK would agree in six months if it cannot now. Others say with pressure to move on to deeper economic, security and defence ties, they cannot risk failure. "YES is politically, emotionally and diplomatically very important. But if we can get an agreement at the summit by removing one element from the agenda it is a price worth paying," said one diplomat.