University bosses who fail to make sure foreign students return home after their courses have finished should have their pay slashed, a senior MP said last night.

Frank Field, the Labour co-chair of the All Party Parliamentary Group on Balanced Migration, said it would help restore public trust in the numbers of student migrants.

He also argued universities should face multi-million pound fines if international students try to stay in Britain unlawfully.

Frank Field, the Labour co-chair of the All Party Parliamentary Group on Balanced Migration, said it would help restore public trust in the numbers of student migrants

If universities helped ensure student migrants left after finishing their studies they could be allowed to take even more, he said.

Higher education institutions have argued for lucrative international students to be taken out of net migration figures so they do not count towards the government's target of cutting it to the tens of thousands.

But critics say student visas have become a back-door route into Britain.

Mr Field said: 'Of course we want vice chancellors to earn their salaries by expanding their universities.

'But they also need to be given the duty of making sure their overseas students return home.

'If the vice-chancellors fail to fulfil their duties on overseas students, their quota should be brought down and part of their salary docked.'

This year it emerged that 11 vice chancellors now earn - in salary and benefits - more than £400,000. The average package now tops £275,000.

Last week the Mail reported 40 are also having their council tax and utility bills, as well as gardening and cleaning costs, paid as a perk at their grace-and-favour accommodation.

In some cases, the perks extend to housekeepers employed to do washing and ironing.

As Home Secretary, Mrs May launched a major crackdown on 'bogus' colleges offering migrants who an easy route into the UK

The combined cost of all bills paid on their behalf came to £331,000 during the last academic year.

Mr Field said the new system would help restore public trust in student immigration – so Theresa May could open the borders to more migrants seeking a higher education course.

It is estimated that as many as half of the 160,000 students coming to Britain on average each year end up staying.

As Home Secretary, Mrs May launched a major crackdown on 'bogus' colleges offering migrants who an easy route into the UK.

But universities have lobbied for students to be taken out of the immigration figures - a proposal which has been resisted by the Prime Minister.

Mr Field has written to the vice chancellor of Birmingham University to suggest the proposals.

The university had fewer international students last year than a year earlier.

In the letter, Mr Field and his co-chairman Tory MP Sir Nicholas Soames write: 'We are determined that this reduction should not be allowed to become a permanent trend across the higher education sector.

'To ensure the public are willing to support this initiative we would suggest that the working group should propose measures by which universities take responsibility for students departing for home after their degree and a period of work experience here.'