Chinese students at UK universities are being pressured to spy on their classmates in an attempt to suppress the discussion of issues that are sensitive to the Chinese government, a new report suggests.

The UK-China Transparency (UKCT) think tank says its survey of academics in China studies also highlighted reports of Chinese government officials warning lecturers to avoid discussing certain topics in their classes.

It comes days after a new law came into force placing more responsibility on universities to uphold academic freedom and free speech.

The Chinese embassy in London called the report "groundless and absurd", adding that China respects freedom of speech in the UK and elsewhere.

The regulator, the Office for Students (OfS), says freedom of speech and academic freedom are "fundamental" to higher education.

The new legislation, which came into force last week, says universities should do more to actively promote academic freedom and freedom of speech, including in cases where institutions have agreements in place with other countries.

Universities could be fined millions if they fail to do so, the OfS has said.

However, the UKCT report says some universities are reluctant to address the issue of Chinese interference because of their financial reliance on Chinese student fees.

The report alleges that some Chinese academics involved in sensitive research had been denied visas by the Chinese government, while others said family members back in China had been harassed or threatened because of their work in the UK.

Those sensitive topics can range from science and tech to politics and humanities, the report says, such as alleged ethnic cleansing in China's Xinjiang region, the outbreak of Covid or the rise of Chinese technology companies.

Some academics reported intimidation by visiting scholars or other Chinese officials, as well as by staff at Confucius Institutes.

These are partnership organisations operating at several UK universities, which bring together institutions in the UK and China, as well as a Chinese government agency which provides funding.

They promote Chinese culture and language on UK campuses, but have been criticised over alleged ties to the Chinese Communist Party.

OfS chief executive Susan Lapworth previously said she expected Confucius Institutes to be looked into under the new free speech laws, over concerns that they could present a threat to free speech on campuses.

The OfS already has powers to ensure free speech is upheld by universities, including against any threats from the influence of foreign states or institutions.

Those powers are due to be strengthened with a new complaints system, in which university staff members and visiting speakers will be able to raise issues directly with the OfS.

The regulator also said universities should amend or terminate any agreements which threatened free speech on campus, including scholarships or schemes funded by foreign countries.

The BBC understands the OfS expects universities to have "an appropriate level of curiosity" about any such arrangements, regardless of any potential loss of income for the university.

A Chinese embassy spokesperson said the country had always adhered to its policy of not interfering with other countries' internal affairs.

However, the UKCT says its survey responses from academics suggested some students from China had told their lecturers they had been asked to spy on their peers by Chinese officials.

Other students, of various nationalities, reported being uncomfortable discussing issues in class deemed sensitive to the Chinese government, and were reluctant to pursue further academic interest in these subjects, the report says.

Skills Minister Jacqui Smith said any attempt by a foreign?state to intimidate, harass or harm individuals in the?UK?"will not be tolerated".

"We are also working directly with the Office for Students to support universities in safeguarding free speech and tackling any form of harassment on campus," she added.

She said academic freedom was "non-negotiable in our world-leading institutions", adding that the implementation of the new legislation made that "explicitly clear".

The record £585,000 fine handed down by the OfS earlier this year has "put universities on notice" that they must do their part to protect these freedoms, she added, or they will "face the consequences".

Additional reporting by education editor Branwen Jeffreys