An extra 126,000 international students are expected to attend UK universities in the next 10 years, according to new predictions.

A study suggests that in the coming decade, the UK will be one of the world's fastest growing destinations for foreign students, despite increasing competition from other nations.

Rising numbers of young people from countries such as India, Nigeria, Saudi Arabia and Pakistan are likely to pick UK institutions to study for a degree, according to a report by the British Council's education intelligence service.

It found the UK, United States and Australia are likely to be the most popular countries for overseas students by 2024, but that they will be facing fierce competition from China.

In 2012, China had more than 328,000 international students at its universities and colleges, and wants to see this rise to half a million by 2015, the British Council said.

It adds that fewer Chinese students may choose to study abroad as the nation pumps money into its universities and colleges, which could have an impact on the countries these students usually to travel to.

But the UK may be less affected because of strong recruitment from other nations - such as India, Pakistan, Saudi Arabia and Nigeria.

Report author Elizabeth Shepherd said: "Mobile higher education students are set to remain an attractive market for host countries across the world, with continued strong growth forecast over the next decade.

"Against a backdrop of fragile economic conditions and recoveries, slowing international trade generally, squeezed household incomes and a global decline in the number of people aged 18-22, this growth is impressive."

Nicola Dandridge, chief executive of vice-chancellors' group Universities UK, said: "Increasing the number of international students coming to the UK could bring enormous benefits to economies in all corners of the UK. Income from universities' international activities is projected to grow considerably in the coming years, while other sectors of the economy are contracting. This is not only about economic benefits. International students, researchers and staff also make an enormous contribution to the academic and cultural life of the UK.

"Competition from other countries for international students is fierce. The challenge will be to make sure that the UK's student visa rules are properly understood internationally and that genuine international students do not become caught up in efforts to bear down on immigration. The UK must also continue to invest in higher education if we are to maintain this global competitiveness."

The British Council's study comes just months after a Government report estimated that in 2011/12 there were around 435,235 international students at UK universities, contributing around £10.2 billion to the economy through tuition fees and living costs.

The Department for Business, Innovation and Skills has said it wants to see the numbers of foreign students coming to the UK rise by up to 20% over the next five years.