Britain will hand the EU £570M a YEAR to rejoin Erasmus scholar alternate scheme in newest Labour unwinding of Brexit

Britain is set to hand the EU £570million to rejoin the Erasmus student exchange programme in a ‘first step’ towards a ‘youth free movement’ scheme.

Ministers insisted the deal is ‘fair’ despite confirming the eye-watering cost for the first year alone.

When the UK was a member of the scheme before far more students came here than went to Europe.

The bill appears to be double what Boris Johnson rejected as too expensive in 2021. 

It will also fuel alarm that Keir Starmer is looking to unwind Brexit, after blaming cutting ties for the economy’s poor performance.

Senior Labour figures have been hinting at customs union membership, although so far that has been dismissed by Downing Street.  

Intensive negotiations have been happening on ‘mutually agreed financial terms’ for taking part in the scheme, which the UK left under Boris Johnson.

The UK is thought to have pushed for a 50 per cent discount on membership fees, which are calculated on the basis of a country’s GDP.

However, the EU only offered a 30 per cent reduction of fees in the first year – terms that Sir Keir seems to have accepted. 

The arrangement will get back up and running in time for the 2027-28 academic year. 

The government said today: ‘The UK contribution for 2027 will be approximately £570 million. 

‘This covers the 2027/28 academic year. Any participation in Erasmus+ into the next Multiannual Financial Framework will need to be agreed in the future and be based on a fair and balanced contribution.’ 

Cabinet Office minister Nick Thomas-Symonds said: ‘Joining Erasmus+ is a huge win for our young people, breaking down barriers and widening horizons to ensure everyone, from every background, has the opportunity to study and train abroad.

‘This is about more than just travel: it’s about future skills, academic success, and giving the next generation access to the best possible opportunities.

‘Today’s agreements prove that our new partnership with the EU is working. We have focused on the public’s priorities and secured a deal that puts opportunity first.’

Previously far more students came to the UK than went to the EU, meaning the net cost was higher than the contribution. But supporters insist there is a wider benefit to the economy. 

Under Mr Johnson, the UK pulled out of Erasmus, launching the Turing scheme as a domestic alternative, arguing that remaining in the EU scheme would have meant a net cost of £2billion over seven years.

That gave a roughly annual cost of £285million – half what the government seems to have agreed. 

In 2020, the last year in which the UK participated in Erasmus, the scheme received £126m of EU funding for 55,700 people to take part in projects overall.

The UK sent 9,900 students and trainees to other countries in that academic year while 16,100 came here.

Glasgow, Bristol and Edinburgh were the three universities to send the most students, with Spain, France and Germany being the most popular destinations for UK students.

In the 2024/25 academic year, the Turing scheme had £105m of funding, external, which paid for 43,200 placements, with 24,000 of those being in higher education, 12,100 in further education and 7,000 in schools.

The majority (38,000) of students were from England, with 2,900 from Scotland, 1,000 from Wales and 1,200 from Northern Ireland.

Mr Thomas-Symonds held talks with the European Commission’s Maros Sefcovic in Brussels last week with the deadline looming for the UK to join in time for 2027.

More than 100,000 Britons could benefit from the scheme in the first year alone, according to the Government.

As well as university-based study exchanges, Erasmus+ will allow further education students and apprentices to take up work placements in European firms.

There will be exchange opportunities for adult learners, school groups and sports coaches – and job shadowing and training abroad will be available to education staff.

Ministers aim to maximise take-up, particularly among disadvantaged groups, by working with institutions and young people.

A UK national agency will be set up to run the programme.

The deal has been welcomed by the UK’s universities.

Tim Bradshaw, chief executive of the Russell Group, said: ‘We’re delighted at the UK’s association to Erasmus+.

‘With an even greater scope than previous programmes, Erasmus+ opens up fantastic opportunities for students, adult learners and young people to all benefit from new experiences and learning.

‘It will also renew the huge contributions that EU students and staff make to life on our university campuses.’

Liberal Democrat universities spokesman Ian Sollom said: ‘While this is a welcome breakthrough, it must be viewed as a crucial first step on a clear roadmap to a closer relationship with Europe. 

‘Starting with negotiating a bespoke UK-EU customs union, and committing to a youth mobility scheme for benefit of the next generation.’