Private school leaders have urged the Treasury to delay the introduction of VAT on school fees, warning that introducing the tax in January could lead to a significant mid-year increase in pupil numbers in the state sector, putting unsustainable pressure on already limited resources.
Independent schools are set to raise fees by up to 20% from January, following a government consultation on the policy. However, a group of headteachers, governors and treasurers from around 50 schools have written to the Treasury arguing that the policy should be delayed until September 2025. This would give schools time to plan and mitigate the potential consequences.
The group, led by Jamie Harle, trustee of St Piran’s School in Berkshire, and supported by representatives from schools including LVS Ascot, Mount Kelly School in Devon and Stafford Grammar School, expressed concerns about the short consultation period. They pointed out that much of the consultation overlaps with the summer holidays, leaving little time for meaningful input. The letter warns that pushing ahead with the January timetable could overwhelm state schools with an unexpected influx of pupils and force some private schools to close.
Harle criticised the consultation process, saying: “The government’s half-hearted attempt to hold consultations, most of which take place during school holidays, does little more than consider the full implications of attacking state schools by transferring pupils mid-term to the state sector, which was neither planned nor foreseen.”
He added that the government’s rush to impose VAT on private education without adequate study could lead to major disruptions in both the private and public sectors. Harle pointed out that independent schools had already begun to close, and that more extensive public consultation would have been possible had the government proposed similar changes to the healthcare sector.
The letter to the Treasury stresses that the consultation period is three weeks shorter than the previous consultation period on the teachers’ pension scheme, and claims that the timing is at odds with the government’s own guidance. The group also raises concerns about the wider impact of the legislation, which affects many charities that provide essential services that local authorities may struggle to replace.
The letter concludes by urging the government to extend the consultation deadline from 15 September to 25 October, to allow for a more comprehensive review of the implications of the policy. Private school leaders argue that delaying implementation until September 2025 is crucial to ensuring a fair and manageable transition for both private and state schools.
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