If VAT is added on Private School Fees, then it will be added onto University fees as well

I don’t know how this would work in practice, but I think it is bad that a lot of people who can afford university do lots of subsidised courses, then put them on their CV and gets an unfair advantage compared to those who cannot afford to. It is ridiculous that accounting firms rather hire someone with a history degree. That is a kick in the teeth for those who never thought of university because their parents didn’t go.

it is actually the same with tutors. I don’t know how much a tutor is (we never used one), £30? £ 50? That is half a weekly food shop for some people, just so others can get a leg up for their children.

And then they are arguing that it isn’t a luxury. Of course it is a luxury, of course they can do it, but they should pay tax on it.

The whole public sector is breaking and state education is in a terrible state. It needs the money and some people can afford it. It should not be tax exempt.

People studying lots of subjects we do not need is a luxury. And if accountably firms rather hire history graduate than apprentices (which they can train), that is a limit to social mobility in itself. Most people (50% +) do not go to university, either due to background or due to not being able to afford it.

For a start do you know how competitive higher apprenticeships are? In many cases they are far more competitive than going to university the traditional way. They aren't the magic wand solving social mobility in the way you think they are....

Also, the vast majority of young people who are capable of going to university and want to go to university go. Those from lower socioeconomic backgrounds tend to choose local universities and live at home but they do participate in higher education.

I think you are wrong here actually. I said we needed a few to study English, history etc. just so we can have teachers.
Do you think it would be okay for only those who come from wealthier backgrounds to study these subjects then?
Don't you think it's important to have diversity in professions?

I think you are wrong here actually. I said we needed a few to study English, history etc. just so we can have teachers.

People studying lots of subjects we do not need is a luxury. And if accountably firms rather hire history graduate than apprentices (which they can train), that is a limit to social mobility in itself. Most people (50% +) do not go to university, either due to background or due to not being able to afford it.

We should add VAT so that courses that indeed are needed get more money. The people who are able to pay should co tribute to the system.

It is not perfect but it is a start, we can improve the system later.

Problem is, where does it begin and end? Specialist school helping severely disabled children?

I have no problem with charging VAT on courses such as English literature, theology, history, etc. We need a few of those but not all that there currently is

Presumably you wouldn't mind if your children/grandchildren weren't taught any history or English or RE then...?

Too simplistic @MyBoiledEggIsTooSoft

A nursing graduate who moves to Australia to work isn’t generating benefit to the UK taxpayer, whilst a fine art graduate working for a gaming company brings in tax and export revenue.

with regards to university, I believe that studying topics that are beneficial to society such as nursing, medicine, engineering etc should be subsidised. I have no problem with charging VAT on courses such as English literature, theology, history, etc. We need a few of those but not all that there currently is.

But we currently have a labour market that values the skills gained from subjects such as English and History.
For example, lots of history graduates are recruited by top accountancy firms because they value the skills developed on these programmes.

You would also run the risk of these subject only being studied by people who can afford them. A two tiered higher education system like you suggest isn't good for anyone.

I am happy for my taxes to support a great state education. I don’t think it is fair that some people can buy an advantage via private schools or via tuition without paying VAT on it.

with regards to university, I believe that studying topics that are beneficial to society such as nursing, medicine, engineering etc should be subsidised. I have no problem with charging VAT on courses such as English literature, theology, history, etc. We need a few of those but not all that there currently is.

If someone want to study a topic for their own interest and the put “graduate” on their CV (and get an advantage) that is great but that is actually a luxury. If the people who are able to do that pay a little bit more, than we can afford to train more doctors, nurses and engineers. As a society, we need those.

I’m happy for my taxes to support students. Higher education is not a luxury. We need skilled professionals.

Private schooling is a luxury and should be taxed as such.

If you are able to pay for university/ tutoring, you are able to pay the extra VAT.

Not everyone who goes to university is wealthy. We should do our best to ensure that university is affordable to those who are capable of studying at that level regardless of socioeconomic status.

Anything above that is something that only benefits less than half of the population.

Erm no. Do teachers, doctors, nurses, dentists etc not benefit everyone?
Not to mention the benefits of having an educated society - less crime, higher tax revenue, healthier...

Money will always buy advantage... Paying more for the house in catchment to outstanding local schools, pricing "locals" out... Getting your child piano lessons... Swimming lessons ... Being able to drive them to competitions... affording to take them into cities and to talks, theatre shows, museums, art exhibitions etc.

I just think that we are in very bad times at the moment. Everyone has to pay their share and some things are a luxury, like private schools, like tutoring, like some university courses.

if we ensure that people who can afford private schools, tutoring and universities pay a bit more, then we can afford to make state education better for everyone.

We can also afford to ensure that we subsidise exactly things like nurses, engineers and what society actually needs.

fundamentally, state education above a certain level (GCSE / A-Level) is free. Anything above that is something that only benefits less than half of the population

Any thing above that level only benefits half the population? Really - anything? The qualified doctor or nurse won't benefit anyone other than themselves? The teacher won't benefit anyone other than themselves? The engineer who designs roads? Etc etc.

@MyBoiledEggIsTooSoft- are you double bluffing to get others to care about potential VAT on private schools?

Education although a big cost and a big business should never be taxed, out of principle. The profits of large private tutoring businesses are taxed anyway and so are those of private schools that are not charities. Those that are charities have to plough the money straight back into the schools and spending on the local economy anyway so the whole Vat on education policy stinks to the roof.

I'm sure it would be easy to change the threshold but this would effect every small businesses in the UK not just private tutors.

@coffeeaddict77

maybe we should change the threshold? That must be easily done.

fundamentally, state education above a certain level (GCSE / A-Level) is free. Anything above that is something that only benefits less than half of the population.

Taxing private schools is a first step and we should extend this to all non-essential education.

Private tutoring is unfair and not attainable for a huge part of the population. It should be taxed. I am sure we can make a carve out. this will enable the government to direct this money (probably substantial) towards failing state education.

Universities are attended by less than half of the population and gives an advantage- of course it should be taxed - with VAT so the government can decide where they need to subsidise.

Education as a whole is VAT exempt.
A school's status as a charity has nothing to do with it. Schools still pay vat on their purchases whether or not they are a charity. No vat is applied on education services whether or not the supplier is a charity. You are posting ignorant misinformation.

I think the extra activities that wealthier people who use what they call "state plus" (send your kids to a naice leafy state comp, plug the gaps with lots of after school and holiday tuition and enrichment activities) will be the next target fot VAT rather than uni fees. Uni fees are an unlikely target unless they first abolish student loans.

VAT won't apply to private tutors if they are small businesses anyway. I think the threshold is 85k.

Well, Labour has suggested the VAT specifically to help state schools. They have said this a lot.

Therefore it should be possible to add VAT on university fees to be able to support some universities.

I actually think it should be VAT on tutoring as well. A lot of people cannot afford tutoring, nobody on a minimum cafe can. Why should some people be able to buy an advantage? If you are able to pay for university/ tutoring, you are able to pay the extra VAT.

No it won’t be. You are deluded if you think it will. Are you still waiting patiently for the Brexit money for the NHS? In any event, it’s only going to generate a tiny amount compared to the education budget. All the figures quoted by Labour so far are wrong.

I'm amazed that even 19 pages into this thread there were still posters insistent that VAT and charitable status are connected. To be honest though, the general population are woefully ignorant about taxation. In a discussion about a vote on a pay offer one of my colleagues genuniely believed that once you hit the 40p threshold ALL of your income would be taxed at that rate, not just income above the threshold. I also had to point out that thresholds are based on the income left after pension contributions have been deducted so those who work a lot of overtime and don't want to pay 40% on that can just pay AVCs.

If you believe that you're ridiculously naive.

Will VAT on school fees make the country more productive? Are private schools full of SAHMs with banker husbands who do tennis luncheons or do they actually help many women work? It is questions like this that need answering. As well as how much employment do private schools really create? Not just staff but also in the building and gardening etc trade. It would be good to see some actual numbers.