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06

Jul 2024

Last Updated: 06/07/2024
Education
Education

Labour's VAT plans for private school fees worries Harrogate parents

by Lauren Ryan

| 06 Jul, 2024
Comment

0

queen-ethelburgas-college-1
Queen Ethelburgas

Labour's election victory has left some parents of children at private schools worrying about the hit to their finances likely to be caused by the new government's planned introduction of VAT on school fees.

Private schools, or independent schools, charge fees for children to be educated. These schools currently do not charge value added tax (VAT) on their fees because there is a legal exemption for education providers.

During its election campaign, the Labour Party set out its intention to end VAT exemption on private school fees. This means those paying the fees will pay approximately 20 per cent more.

According to Labour’s fiscal plan, the new government will used the money raised by levying VAT to train 6,500 new expert teachers, create over 3,000 new nurseries, and provide mental health support for every school.

According to the Independent Schools Council (ISC) there are 2,500 private schools in the UK, educating approximately 620,000 pupils. 

brackenfield

Brackenfield school

Parent's reactions

The Stray Ferret spoke to parents with children at Brackenfield, an independent day school for 2 to 11-year-olds in Harrogate to find out what they thought.

All parents except one wished to remain anonymous.

The parent who agreed to be named, Sorrell Kaye, has a daughter in the nursery at Brackenfield and said:

I’ve sent my daughter here because we wanted to carry her all the way through so that she would get to know all the teachers and all the pupils, so she wouldn’t feel that pressure of going into another setting. 

It is now putting pressure on us as parents to see if we can actually afford it. 20 per cent is a lot of money – it is a big jump. People with lots of money will be fine, but families on the cusp will have to look at state schools.

We just have the one daughter here at the moment, but it makes you think ',should we have another one, can we afford to have another one now?'. 

If we have another one, maybe we can’t afford to send her to this school; if we don’t, then maybe we could, just about.” 

One mother told the Stray Ferret her family had moved to the area due to the quality of state schools but had been advised to send her child with SEND (special educational needs and disabilities) to an independent school.

She added: 

One in five kids at private school is SEND, some of them are then going to have to go to state school, and the reason we took them out in the first place is because mainstream didn’t work. We were actually advised to put our child into private education.

We moved up to Yorkshire because of the quality of the state schools and when the state schools are turning round to you and saying 'we can’t cope', we don’t have a choice, and now we’re being penalised for it. 

Labour can charge an extra 20 per cent and say they will add 6,500 teachers, but it won’t change the fact the education system is broken. 

One father said: 

For my family, it won’t make a difference what decision we make to the children being here, [but] it will make a difference to lifestyle. We won’t go to the butchers to buy our meat, we’ll go to Aldi, we’ll cut things to make sure that the gap we need to find will be found elsewhere.

I have concerns about where the children will go if people can’t afford to stay in these schools. There are struggles with class sizes in state schools as there is and now there will be an influx of people.

We don’t all live in mansions on Duchy Road – we make cuts to sacrifice for our children. Most people who send their kids to private school won’t be impacted, but the few who need it the most will be impacted the most. 

Another added:

I think all schools should be improved and I think all schools should be lifting up to the highest they can be. If they want to save some money, get rid of Ofsted and scrap SATS.

One mother with multiple children at the school admitted she didn’t vote because she thinks “the system is too broken for any party to fix”.

She said:

I don’t agree with it. These aren’t people that are multi-millionaires, it is people that are working hard to give their children better lives. It is going to worsen an already broken system.

Another said:

I think that it is completely wrong. Even though we are not using state schools, we still pay our taxes which are used for state schools. After 14 years of Tories the state education system is in an absolute state of disrepair. 

brackenfield-head

Joe Masterson headmaster at Brackenfield School

What do the schools think?

Joe Masterson, headmaster at Brackenfield School said:

Prior to the election, our parents shared some concerns around the implementation of Labour’s VAT policy and the continuity of their child’s education. The reality is, most private schools are small schools serving their local community as a charity largely run by parents and many of these are the schools that will likely have to close. 

If there is a new tax on hard-working aspirational parents, we will be the first modern democracy in the world to impose such a tax on education.

We remain concerned for the many families and hard-working teachers who are likely to be affected. Therefore, I hope that the government reconsiders this issue in the months ahead. 

As a school leader who has supported the education of children for a long time, I am sympathetic to these concerns. However, at Brackenfield School, we are in a very fortunate position in that our pupil numbers continue to grow and we are part of schools' group, Forfar Education, who are investing in our school facilities and resources for the benefit of the children.

Dan Machin, principal of Queen Ethelburga’s Collegiate, said:

As with any General Election, there will inevitably now be a period of exploration. We will continue to prepare thoroughly for what may come, to continue to ensure our fees remain affordable for our families, and make sure we carry on communicating effectively with our QE community as more information becomes available.

Sylvia Brett, principal of Harrogate Ladies’ College, said:

There is still a lot of detail surrounding the policy that hasn’t yet been confirmed, however we’re continuing to communicate with parents and support them in every way we can. 

We’ve already made assurances that fees for next academic year will remain fixed and we will continue to do everything we can to mitigate the impact of this policy on parents and the school.

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Richard Rooze, the bursar of Ashville College, said:

We still do not yet know when or how exactly VAT will be imposed. It will lead to fees rising – here and in virtually every other independent school – but the Ashville Board will do everything in its power to ensure that fee increases are minimised as far as they can. We will of course continue to keep our parents informed as and when further information emerges.

Charlie Brooksbank, chair of governors at Belmont Grosvenor School said:

We are hopeful to be able to absorb some of the costs the imposition of VAT will bring, but the new Government's policy will clearly have an impact on the independent school sector. 

Our parents are very supportive of BGS and appreciative of our open communication as we plan together for the future. There is optimism amidst the current uncertainty.

The Stray Ferret has contacted the Labour party for comment. 

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