Ministers say the new rules, which will apply to all those from outside the European Union,
will stop colleges being used as a 'back door to a British work visa'.
Official figures show that 121,000 non-EU students entered the UK in the 12 months to June last year, but only 51,000 left – a net influx of 70,000.
The government estimates that the number of foreign students coming to the UK will rise by more than 6 per cent a year up to 2020. Home Secretary Theresa May has taken action against 870 bogus colleges, banning them from taking foreign students.
But the Conservatives have vowed to go further, without the Lib Dems in power to force the rules to be watered down.
They want to stop student visas being used as an easy way to enter the UK before getting a job and claiming benefits.
Under the new rules, non-EU students will be denied the right to work while in the UK and will not be able to apply for a visa extension when their course finishes.
Students will have to leave the country before applying to return under a work visa.
The length of stay is also expected to be cut to two years when the plans are unveiled this week.
Immigration Minister James Brokenshire said it was 'part of our plan to control immigration for the benefit of Britain'.
Foreign students are to be banned from working in Britain under a fresh crackdown on immigration ordered by Home Secretary Theresa May.
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