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To think if you can no longer afford school fees...

658 replies

TiredMumE · 13/06/2024 19:54

that is tough.

OP posts:
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7
TheTigerWhoCameToEatMyHusband · 13/06/2024 22:19

Just cancel your sky tv.

SugarandSpiceandAllThingsNaice · 13/06/2024 22:19

Aladdinzane · 13/06/2024 22:17

@Labtastic

"The top 10% of earners contribute over 60% of tax receipts in this country."

No, they don't. Income tax is only about 25% of the entire tax take.

This is repeated so often I'm surprised that such high earners don't know the difference.

Yeah you’d think high earners would have some good financial literacy and maths skills…

Aladdinzane · 13/06/2024 22:20

@SugarandSpiceandAllThingsNaice

This was asking for what actually is their definition of middle class. Is it middle income? Is it in the way it used to mean in England, as in Upper class ( titles), Middle class ( professions), Working class ( those who do manual labour type roles) or the Marxist definitions.

No confusion.

Labtastic · 13/06/2024 22:21

Aladdinzane · 13/06/2024 22:17

@Labtastic

"The top 10% of earners contribute over 60% of tax receipts in this country."

No, they don't. Income tax is only about 25% of the entire tax take.

This is repeated so often I'm surprised that such high earners don't know the difference.

I should have said 60% of income tax receipts - I thought that was clear but obviously not, so I apologise

Willyoujustbequiet · 13/06/2024 22:21

FourOfDiamonds · 13/06/2024 22:09

Genuine question - what's the counter argument? I get that in the short term families who have to leave PS won't be able to do this but long term (5 years plus) I totally see it happening. If a family that can borderline afford private decide to go state they have so many resources to chuck at it to ensure they get into the best which means someone else won't.

I've mentioned this in other threads but many areas do not have catchment as priority so you can't buy your way in.

In addition, birth rates are falling and certainly in my area, despite all the schools being outstanding, there are more than enough places to cater.

Finally some posters on other threads crunched the numbers and calculated that the actual numbers of extra pupils per school will be so small as to not have any effect. I think it was less than one but I'm happy to be corrected.

Given all the above, I simply don't buy into the argument repeatedly put forward that state school pupils are going to be negatively impacted in any way by this.

Another76543 · 13/06/2024 22:22

SugarandSpiceandAllThingsNaice · 13/06/2024 22:14

Yep, the luxury version of goods and services should attract VAT.

Private education is a luxury service.
Any private tutoring service you hire- you already pay VAT.

VAT is not a luxury tax, but in any case a decent education should not be seen as a luxury.

Taking the “luxury” argument though, what about cake, caviar, artisan bread, cooking chocolate, hardback books? There’s no VAT on those.

Labtastic · 13/06/2024 22:22

Yeah you’d think high earners would have some good financial literacy and maths skills…

Why do you assume I'm a higher earner? I earn £35k a year working two jobs.

millymoo1202 · 13/06/2024 22:24

TheFairyCaravan · 13/06/2024 19:56

Could always give up SkyTv

Could also get a job in Tesco

Labtastic · 13/06/2024 22:24

SugarandSpiceandAllThingsNaice · 13/06/2024 22:06

how about that nobody else anywhere charges VAT on education?
Everything I have read states that “most” countries do not tax private school fees, which means some do. For example, Greece charges 23% VAT on private school fees.

people always conveniently forget that the vast majority of people paying for school fees are already contributing far, far more in tax to the treasury than the people going on about unfair "tax breaks."

As a % of their income, poorer people pay more overall tax than richer people. This is because poorer people have to spend all their money on essentials that include VAT, whereas the better off, the top 7% that can afford private school fees have so much disposable cash that they hoard it into tax shelters and get higher tax relief on pensions.

Haha, and Greece was a great example of what happens when you do bring in this policy!

Aladdinzane · 13/06/2024 22:26

@Labtastic

I wouldn't use Greece as an example of anything happening in a normal way.

Most people will pay it. Those already there will in the vast majority just keep going.

Those preparing to send their children will arrange their finances accordingly.

SugarandSpiceandAllThingsNaice · 13/06/2024 22:27

Labtastic · 13/06/2024 22:24

Haha, and Greece was a great example of what happens when you do bring in this policy!

Seriously? You think VAT on private school fees is a major driver of a nation’s economy? It has as much effect as crocodile tears on the flow of the Nile.

Labtastic · 13/06/2024 22:28

Seriously? You think VAT on private school fees is a major driver of a nation’s economy?

I don't, no. Where do you think I said that?

FourOfDiamonds · 13/06/2024 22:28

Willyoujustbequiet · 13/06/2024 22:21

I've mentioned this in other threads but many areas do not have catchment as priority so you can't buy your way in.

In addition, birth rates are falling and certainly in my area, despite all the schools being outstanding, there are more than enough places to cater.

Finally some posters on other threads crunched the numbers and calculated that the actual numbers of extra pupils per school will be so small as to not have any effect. I think it was less than one but I'm happy to be corrected.

Given all the above, I simply don't buy into the argument repeatedly put forward that state school pupils are going to be negatively impacted in any way by this.

Thanks for the reply and explaining your points.

The idea of putting tax on education also makes me a bit uncomfortable. I feel like it's a line that shouldn't be crossed. I'm not saying they'll start charging VAT on nurseries and university. I'm not sure what might happen. I just like it now where certain things like health and education are off limits.

edwinbear · 13/06/2024 22:33

@SugarandSpiceandAllThingsNaice Greece don’t charge VAT on private school fees. They tried it, it was a monumental fuck up and they had to reverse the decision.

Iwishicouldflyhigh · 13/06/2024 22:39

Willyoujustbequiet · 13/06/2024 21:21

They are exempt with an EHCP as someone pointed out earlier.

Nope, that’s not been confirmed.

Iwishicouldflyhigh · 13/06/2024 22:41

No one seems to be talking about the fact that private school nurseries might also have vat added (Labour haven’t committed either way). Can you imagine the fight for nursery places if they do that (loads of people use them as they woukd a regular nursery).

JockTamsonsBairns · 13/06/2024 22:41

Creamcheeseplease · 13/06/2024 20:40

Mine did. My husband's did. In fact fucking worse. You ever been to Easterhouse or Castlemilk? Our current local secondary is a pile of shite too.

Our son is going to a private school. We can afford it regardless, thank fuck.

Your son lives in Easterhouse or Castlemilk, but is going private??

You're brave!

Which private school?

Bunnycat101 · 13/06/2024 22:43

The manifesto doesn’t specify what the rate of vat will be as far as I can tell so they’re not tied in to 20% immediately. A lot of the costings are a bit dodge across the piece so until they’re in government and have access to the civil service, it’s a bit finger in the air (eg the budget for the 3000 extra nurseries is about £11k per one which is nothing).

Personally I’m a bit gutted. I don’t like my local senior schools and will need to do done number crunching but a 20% car threshold might be the trigger for me not going down a private route. It’ll be in 3-4 years time when the policy hits re behaviour change. I think people with kids in school will do all they can to keep them there but it’s a very different decision process for those thinking about starting. Now if there is a massive cash injection into schools and staff retention over next few years, the state schools might improve but currently my catchment school has negative progress scores for high achieving kids and has some significant behavioural issues. A shift away from private schools might generally improve the school as it’s not really a ‘comp’ by intake as very high percentage of kids go private for secondary in my area or find god to get into the high performing catholic school.

ChocolateFinger222 · 13/06/2024 22:49

Labtastic · 13/06/2024 22:24

Haha, and Greece was a great example of what happens when you do bring in this policy!

Greece is very different so pointless using them as a reason against charging vat.

They have said EHCP children would be exempt but not all SEND which is the right thing to do otherwise every single parent of a privately educated kid would say their child had SEND.

Creamcheeseplease · 13/06/2024 22:49

@JockTamsonsBairns

No we're from those areas. We don't live there now.

WomensRightsRenegade · 13/06/2024 22:51

Spirallingdownwards · 13/06/2024 20:06

I have an idea! Let's start yet another thread saying the same thing 🙄

Did someone force you to open the thread and comment?

Labtastic · 13/06/2024 22:55

Greece is very different so pointless using them as a reason against charging vat.

In what way? I'd like to hear why it would be different here.

An Economist article I read from 2015 about Greece's issue was that a) the big, richer schools were unaffected but b) the smaller schools went bust, and all the jobs went with them. Exactly what people are warning of here.

We have three private schools in our immediate vicinity and, in a rural area, they are by far the biggest employers for miles around. One school is making a loss, the other two are only just breaking even (literally only hundreds of pounds margin). These are the schools that are heavily at risk from this policy. People may not choose to move their children, but they'll have no choice when the smaller schools with fewer than 300 pupils start folding.

So, basically, just like Greece.

Aladdinzane · 13/06/2024 23:00

@Labtastic

Where exactly do you live that this is the case?

As said before there is special pleading from every single PE parent, which either means MN has an entirely different set of parents using it than are average PE parents, or, lots are leaving important information out.

WomensRightsRenegade · 13/06/2024 23:02

TiredMumE · 13/06/2024 21:17

Can you not use their DLA to pay for the additional fifth?

This is seriously cunty

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