A false perception that Britain is hostile towards Israelis has led to fewer students coming to study, Universities and Science Minister David Willetts has claimed.
Mr Willetts said closer research links and increased academic exchanges with Israelis were needed to reverse the decline.
During a three-day trip to Israel this week, he met education, science and technology ministers as well as Israeli university representatives and leading scientists.
On Monday he told academic leaders at the Hebrew University of Jerusalem: “Emphatically, there are not boycotts of Israeli academics, or Israeli students, or British-Israel academic exchanges. Those would be completely wrong, and there is no UK university that is boycotting Israel.”