The Emerging Futures research from IDP Education found that the US has taken “pole position” in the eyes of international students. More than 11,500 from 117 countries were asked about study destinations.

Cost of both tuition and of living were the two most significant factors deterring international students from studying in Australia, it found.

Additionally, the research said that the country’s changing policy environment is causing the largest volume of prospective students to reconsider their study abroad plans.

Some 8.9% said they were looking for alternative study destinations or reconsidering studying abroad at all.

For the first time since IDP began surveying students on their first-choice destinations, the US has ranked top. In previous iterations, it has been in fourth position, behind Australia, Canada and the UK.

Canada has recently announced a cap on international student numbers, while visa rejection rates are frustrating prospective students seeking opportunities in Australia as the government seeks to reduce net migration numbers.

Respondents were attracted to the country’s quality of education, graduate employment opportunities and value for money.

Student perceptions of New Zealand and Ireland as first-choice study destinations improved in the latest report, IDP noted.

“Students remain committed to bringing their global study dreams to life but are sensitive to policy changes”

The top reasons for choosing the number one preferred destination were high quality education, good employment opportunities after graduation and safety.

“This is the first time we’ve ever seen the US ranked as the most popular study destination for international students in the Emerging Futures research,” Simon Emmett, IDP Connect chief executive officer, said.

“The growth in the US and emerging markets demonstrates that students remain committed to bringing their global study dreams to life but are sensitive to policy changes.”

The results also serve as a reminder to UK, Australia and Canada governments that clarity on international student policies are needed to maintain their respective “competitive advantages”, Emmett continued.

“The actions taken by students have played out as predicted by our previous Emerging Futures report released in October 2023,” he said.

The CEO emphasised the importance for post-graduation employment opportunities last year, warning that any changes to the UK graduate visa route could be detrimental for the UK sector.

“Acknowledgement of the rich cultural, academic and economic contributions made by international students to their communities is also required to ensure these countries are seen as welcoming and attractive destinations,” he added.

“As governments in some countries adopt measures which impact international students, demand is inevitably being affected and it is increasingly difficult for driven and bright students across the world to pursue their global goals,” Tennealle O’Shannessy, IDP Education chief executive officer and managing director, said.