Malcolm Grant, provost of University College London, claimed Britain’s reputation for university education meant it attracted well-qualified English-speaking students from other European Union countries.

Speaking at a seminar organised by the think tank Politeia, Grant said: “Often people who have studied a foreign language formally are better at it.

“There are more students coming from continental Europe and the numbers from the accession states are growing, yet we do not see a corresponding flow of UK students going in the opposite direction.Inevitably it leads to greater competition.”

Grant, who was born in New Zealand, told the seminar that tutors were offering more places to highly motivated French, German, Spanish, Italian and eastern European students. They looked favourably on the applicants as they had “shown initiative” in applying the British universities.

Figures from the Higher Education Statistics Agency are believed to show British universities recruited 3.2% more students from EU countries in 2005 compared with the previous year, bringing the EU total studying here to 100,005.

Further pressure for places has been put on British universities following the expansion of the European Union to 25 countries following the accession of 10 new member states in 2004.

Like their British counterparts, students from the EU studying here will have to pay up to £3,000 a year from September after graduation. Currently they pay £1,500 at the start of each year.

Under the new system students will only have to pay back the annual fees once they earn at least £15,000 a year. But there are concerns that keeping track of EU nationals once they return home will prove difficult, leaving British taxpayers to pick up the bill.

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