The point is that there was both scales of economy due to the Erasmus program and a lot of pan European research grants..

Being able to pull from a Europe wide talant pool was a huge benefit to the UK and her universities.

So there was massive, irreplaceable benefits just for universities lost due to the Brexit project.

Along with that Brexit has cost the UK a ton of money.. this net contributer stuff was literal propaganda.

The UK is worse off now, with less funding to go around.

> Fine, but my point is there is no reason for Brexit to be a net negative when it comes to the funding of PhDs - if anything, it offers an opportunity to be more effective at funding.

This works only if you assume that the amount of money stayed the same. For now, there has been a flux of capital and business moving over to the continent. Trade decreased as well. This can change in the long run, depending on the policy of the Bank of England, but for now Brexit is a net loss in British government funding. Besides the fact that the money that was supposed to be saved was also supposed to be spent simultaneously on the NHS, infrastructure, and developing the “northern powerhouse” (of cards, unfortunately, as the North of England gets shafted again).

You are missing two parts: 1) _during_ the whole “transition” period nobody knew anything how this would pan out. That means nobody* would write grant proposals for ERC funding for the future. Which is the drop in received funding that the UK institutions start seeing now 2) highly trained people do have a choice in moving. And the UK very openly communicating: we don’t want those stupid foreigners made a number of people thinking twice of going there. They are still some of the most famous universities which reduces this effect, but still it was the default choice for anyone and isn’t anymore.

So you get an atrophied bureaucracy for distributing research money and combine it with a reduction in applicants and you get fewer graduate students about 2-5 years after you switch.

*significantly fewer people

Anything remotely related to the EU is toxic as far as the current government is concerned. This includes immigration which they successfully tied to the EU in voters minds.