Whether or not you’re considering an independent education for your child, this issue has the potential to impact and quite possibly REDUCE your child’s chances of securing a grammar school place.

In a recent proposal that has stirred considerable debate, the Labour Party has suggested that should they come into power, they may implement a Value Added Tax (VAT) on private school fees. This move aims to address educational inequality by potentially redistributing the funds to support (free) state schools. However, this policy has raised significant concerns among families who rely on private education.

For many parents, the choice of private schooling is driven by a desire for smaller class sizes, specialized programmes, and perceived higher standards of education. Adding VAT to school fees, which are already a substantial financial commitment, could make this option less accessible to a broad segment of the population. Families who are not traditionally wealthy but sacrifice to afford private education might find themselves particularly hard-hit, potentially having to reconsider their educational choices.

Moreover, the sudden increase in education costs could lead to a higher dropout rate from private institutions, as families struggle to adjust their budgets.

During the last financial crisis, many prep schools and smaller senior schools had to close, often with very short notice being given to then-current families.

This could have a ripple effect on state schools, possibly leading to overcrowding and diluted quality of education if they are not adequately prepared to handle an influx of students.

With the ongoing issues regarding RAAC in many of those schools requiring removal, it’s hard to envisage a situation where the government could build any new schools to cover increased pupil counts.

Additionally, there is concern about the broader economic impact. The private education sector not only supports direct jobs, such as teaching and administrative positions but also indirectly affects local economies that cater to these schools. Implementing VAT could thus have unintended consequences on employment and service industries connected to the private education sector.

The proposal has ignited a broader discussion on how best to fund and ensure quality education for all students across the UK. As families, educators, and policymakers weigh the implications, the debate continues on finding the right balance between equity in education funding and maintaining choice and quality for parents and students alike.

We’ve noticed a steady uptick in this issue when speaking to prospective client families, especially those with more than one child.

The issues include such matters as, how to plan for any increases, what if we can’t afford multiple places, can we send each child to a different school.

If you’d like to discuss your plans for your child’s education, in strict confidence, you can book a free Zoom call with me here.

Adroit planning now can save pain and heartache in a few year’s time.