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

539 replies

AgathaCrispee · 31/01/2024 08:06

Does it worry you that this new policy of adding VAT on educational fees will also be applied to university fees as well?

AIBU to think this will put university out of the reach of the majority of families who will support their kids through Uni?

Also, for those who do go the level of debt they will come out with will be really big.

If they can apply VAT to private school educational fees then they've setup a case for Independent schools argue that it must be applied to Uni as well.

Is this going to create a situation where only the wealthy can send their kids to Uni?

I'm wondering why no one is asking this question!!

OP posts:
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newnamethanks · 31/01/2024 09:05

I wonder why you haven't enabled voting. This is pure, goady, scaremongering that makes no sense. YABU.

titchy · 31/01/2024 09:05

University is private education. The universities aren't owned by the govt, and students (or their parents) must pay to attend.

State schools aren't owned by Gov either....

Uni is not private education. Unis are charities. Interestingly their status is being re-evaluated by OBR? ONS? Someone. Could have big repercussions for the sector (not for student fees though).

Deathbyathousandcats · 31/01/2024 09:04

PremiumRaa · 31/01/2024 09:02

Private schools are not a "perk for the privileged" to quite a previous poster. They're a commodity available to anyone who is willing and able to pay for them.

That’s pretty much the definition of ‘perk for the privileged’

Lindaofoxford · 31/01/2024 09:02

People have long been asking this question. I’m surprised you’re only starting to ask this question. Can we assume it’s suddenly getting close to home?

titchy · 31/01/2024 09:02

It's a bit Baldrick isn't it?

Uni fees increase by £1500 VAT

Fee loans to students therefore have to increase.

Fee loans come from Gov. so will cost a lot more tax payer money.

But good news - there's extra money coming in from the VAT on fees.

The same money goes Gov -> SLC -> Unis -> Gov.

All we'd need is someone to point out that if the two middlemen were cut out it would be far more efficient Grin

WhollyGlorious · 31/01/2024 09:02

One does not follow the other, that’s not how our VAT rules work.

For example, a gingerbread man with chocolate eyes is VAT free. Add a chocolate belt and you pay 20%. The difference between private school and university is greater than the difference between gingerbread men with and without chocolate belts. And take a look at how nuanced the clothing rules are https://www.gov.uk/hmrc-internal-manuals/vat-clothing/vclothing3100

There just isn’t an argument that because one thing has VAT, another sort of similar thing also should.

VCLOTHING3100 - Items made of Fur: The fur skin flowchart - HMRC internal manual - GOV.UK

https://www.gov.uk/hmrc-internal-manuals/vat-clothing/vclothing3100

PremiumRaa · 31/01/2024 09:02

Private schools are not a "perk for the privileged" to quite a previous poster. They're a commodity available to anyone who is willing and able to pay for them.

Meadowfinch · 31/01/2024 09:02

It's an interest question.

University is private education. The universities aren't owned by the govt, and students (or their parents) must pay to attend.

In the UK, it is a luxury spending £30k minimum on a degree. So what's the difference? It is as elitist - if not more so - than private school, because it is possible to get a secondary education without paying for it. It is almost impossible to get a degree without paying for it. Social & economic class measurement are set by how far someone goes in education.

So logically VAT should be added to university fees too. That would be 'fair'. If it isn't, that identifies Labour's VAT on private school fees as no more than the politics of envy and spite.

Then we come to what is actually best for the UK. Ideally we should have the best educational facilities for as many (all) children as possible. And as many people educated to degree level as possible. Then we would have enough doctors and teachers and engineers and entrepreneurs to drive the economy forward healthily.

But instead, Labour seek to damage some of our best schools, drive some out of existence and reduce the number of children who have access to good education.

It is completely illogical. Instead, they should put the money they will waste on legal fees and courts and judges and legislation, and all the costs of moving 700,000 children, into funding state schools better. They should stop being so destructive and concentrate on what actually needs doing. Improving all schools.

Deathbyathousandcats · 31/01/2024 09:01

Tatumm · 31/01/2024 09:00

It’s all bollocks isn’t it? Tory party HQ infiltration of internet fora is endemic. 😂

Apparently the OP is a ‘floating voter’!
And I’m the Pope.

Lindaofoxford · 31/01/2024 09:00

Uni is already out of the reach of many families. Fees alone are circa £9250. Add 9% pa interest on loan, this is £10,082.50. Rents are about the same. 2nd and 3rd years can be more dependent on local rents.

Once a family earning over £25000, maintenance loans are given on ever decreasing scale. £25000 is below average wage.

So, 3 x fees and maintenance in real terms is 3 x circa £20k per year so £60k. Obvs some live at home. Some do 4 years. £60000 x 1 year at 9% = £65400 and on it grows.

If YP drops out or is kicked out at any point in the year, the fees and rent for the year still apply.

Loan is deducted from earning at 1% once salary is £25000. So £20 pm paid off on an every growing debt, currently at 9%. Doesn’t sound a lot, but tax, NI, rent, fares, saving for mortgage…. Your YP forever chasing their debt.

It’s now 40 not 30 years before written off. YP will be 60+ by then and their own children finished uni with own debt. Many YP will only ever earn around average Uk salary, depending on their profession. This includes most vocations.

Taking time out to have children, travel, do further travel, manage sudden illness and 🤷‍♀️.

Degree apprenticeships are becoming increasingly competitive for this reason. However, the greater the privilege, the more chance of securing a DA. It’s simply the law of the jungle.

No degree, limited career opportunities. And on it goes.

For equality, we need employers to remove the degree prerequisite for even an interview for all but vocations that require specific teaching.

My son is doing a business related degree at sn RG. It’s so out of date. The course curator has clearly never worked in industry. For example, it positions HR as a friend of the employee. It’s not. HR works for the business. If he is to go into HR, he will have to learn the actual practice of HR on the job, so what’s the point of uni other than a big jolly?

A levels and Btecs are enough to demonstrate commitment to learning.

To conclude, university education is already beyond the means of many families. For others, it is a life long debt burden. We need to all look outside of our ivory towers when making self driven posts on forums such as this.

Tatumm · 31/01/2024 09:00

Deathbyathousandcats · 31/01/2024 08:55

This your first post then, OP?
Funny that.

It’s all bollocks isn’t it? Tory party HQ infiltration of internet fora is endemic. 😂

SerendipityJane · 31/01/2024 08:57

It's Brexit again, innit ?

Dream up some bollocks and claim it's either because of the EU (bendy bananas) or will be, because of the EU (microchipping budgies).

Then see the "headlines" explode as the algorithms get to work.

I'm just disappointed it was something so mundane and easily rebutted. Presumably to keep the spotlight of Labours plans to change the union jack to the rainbow jill. Because no one has mentioned that either.

NamelessNancy · 31/01/2024 08:56

Goodness, feathers are really ruffled on here aren't they!

AgathaCrispee · 31/01/2024 08:56

For those still thinking that Labour are removing charitable status, they are not:

"Labour has dropped plans to end charitable status for private schools, but said it would still remove other "unfair tax breaks" if it won the next general election"

https://www.bbc.co.uk/news/uk-england-essex-67487136

School

Labour drops plan to strip public schools of charitable status

Party drops promise to remove some charity tax perks but says it will implement VAT on fees.

https://www.bbc.co.uk/news/uk-politics-66942985

OP posts:
Deathbyathousandcats · 31/01/2024 08:55

AgathaCrispee · 31/01/2024 08:52

I'm going to email the NUS and see what their take on this is.

I'll also send an email to the local Labour MP as well, see what their response is.

Be interesting to see what both say.

This your first post then, OP?
Funny that.

Tatumm · 31/01/2024 08:54

dontjudgemeagain · 31/01/2024 08:49

WHAT IF LABOUR PUT VAT ON HAMSTERS???? WHY IS NO ONE TALKING ABOUT THIS?

🤣🤣🤣🤣

Grumpyoldpersonwithcats · 31/01/2024 08:53

dontjudgemeagain · 31/01/2024 08:49

WHAT IF LABOUR PUT VAT ON HAMSTERS???? WHY IS NO ONE TALKING ABOUT THIS?

DON'T PANIC!
I've heard that Sunak will shortly announce that Hamsters will continue to be VAT exempt.

I was a floating voter but following this, those brave, morally upstanding Tories will get my vote forever.

Deathbyathousandcats · 31/01/2024 08:53

AgathaCrispee · 31/01/2024 08:52

I'm going to email the NUS and see what their take on this is.

I'll also send an email to the local Labour MP as well, see what their response is.

Be interesting to see what both say.

Yeah, you do that eh. Don’t forget to come back and tell us.

Deathbyathousandcats · 31/01/2024 08:52

dontjudgemeagain · 31/01/2024 08:49

WHAT IF LABOUR PUT VAT ON HAMSTERS???? WHY IS NO ONE TALKING ABOUT THIS?

‘I’M JusT AskING QUeSTioNs’

AgathaCrispee · 31/01/2024 08:52

I'm going to email the NUS and see what their take on this is.

I'll also send an email to the local Labour MP as well, see what their response is.

Be interesting to see what both say.

OP posts:
Deathbyathousandcats · 31/01/2024 08:51

Paellaaaa · 31/01/2024 08:47

Loving the flurry of panicked private school parent threads. So because nobody gives a shit re a privileged few having to pay more for a damaging luxury it’s now time to try scaremongering.🙄

Yep. It’s as if the command has come through from Conservative Central Office; “FFS, get onto the forums and pretend to be a concerned parent’

Donotgogentle · 31/01/2024 08:50

dontjudgemeagain · 31/01/2024 08:49

WHAT IF LABOUR PUT VAT ON HAMSTERS???? WHY IS NO ONE TALKING ABOUT THIS?

😂

TiredCatLady · 31/01/2024 08:49

It would be utterly pointless putting VAT on school fees as “the rich” (as people on here seem to refer to anyone who sends their kid private) or their accountants will simply find a way to pay the fees through e.g. a business and circumvent the VAT. If a government is too thick to realise this is the case then…

dontjudgemeagain · 31/01/2024 08:49

WHAT IF LABOUR PUT VAT ON HAMSTERS???? WHY IS NO ONE TALKING ABOUT THIS?

Paellaaaa · 31/01/2024 08:47

Loving the flurry of panicked private school parent threads. So because nobody gives a shit re a privileged few having to pay more for a damaging luxury it’s now time to try scaremongering.🙄