ISC CEO raises concerns about the number of pupils who could be displaced into the state sector as a result of VAT on fees

Posted on: 22 Apr 2024

One in four wealthy parents plan to remove their children from independent schools if Labour's plan to impose VAT on fees is put into effect, according to the findings of a new survey.

Data from a recent survey of 2,000 people with investable assets of more than £250,000 has found that 71 per cent believed rising school fees would have an impact on their choices around independent schooling in the future. Others said they plan to move house so children who are boarding can remain as day pupils, or may consider moving to be near a cheaper alternative. Responding to the findings, CEO of the ISC Julie Robinson said: “Five separate surveys have now found exactly the same thing: that VAT would cause parents to leave the independent school sector in numbers that would result in a net cost to the taxpayer." Calling for the chance to discuss the policy with Labour, Ms Robinson added: “We are particularly concerned about the disruption to education for children receiving special educational needs support, for military families and for those choosing faith schools.” 

In an interview with Matthew Wright on LBC, Ms Robinson reiterated concerns around the potential impact of Labour’s VAT policy. She warned: “We’ve seen now five separate surveys suggesting that between a fifth and a quarter of parents would leave the sector – if that happened, then actually this tax wouldn’t raise anything for state education.” Ms Robinson also explained how pupil movement would cause disruption to children’s education, and highlighted the families who are likely to be among those most affected by VAT on fees. 

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