VAT: Independent Schools

In a statement delivered in the House of Commons, a minister expressed strong opposition to the government's decision to impose VAT on independent school fees. The minister argued that educational provision should not be taxed, and that the government is rushing to implement this change in the middle of an academic year, causing disruption and uncertainty for parents, children, and schools. The minister called on the government to exempt certain groups from the VAT charge, including children of military and diplomatic families, those with Education, Health and Care Plans or in the process of applying for one, children on SEN support, Centres for Advanced Training and schools in the Music and Dance Scheme, children at schools with fees lower than the average per capita funding for a state school place, and children at religious schools where there is no faith school provision in the state sector. Furthermore, the minister urged the government to postpone the imposition of the VAT charge for schools in areas where state schools in the relevant key stage are already over 95% full, as well as for fees paid in respect of children who have started a public examination course, until September 2025 for pupils currently in Year 11 or Year 13, and until September 2026 for pupils currently in Year 10 or Year 12. The minister emphasized the long-standing principle that learning should not be taxed, and the importance of defending parental choice in education, whether it be state-funded schools, home schooling, or the independent sector. The minister expressed concerns about the wider impact of this policy on state schools, including disruption, bigger classes, budget overstretch, and the likelihood of parents being less able to get their preferred choice of school. The minister called on the government to publish a full impact assessment of the effects of this policy on independent schools and the state sector ahead of the Budget, highlighting the need for a more thorough and considered approach to this significant change in education policy.