Confused about VAT and wraparound care

[billyjo]

My DD goes to wraparound care 3 days a week. She's at a state primary but the wraparound care (for all the local primaries) and holiday club is provided through the local prep school.

She does things like football and crafts there.

I'm confused as to whether I'll now be charged VAT of these costs

But probably.better to ask in September!

Surely in which case the hours for PE lessons while at private school should also be exempt

No because during the school day they are provided with an education. It's a formal lesson forming part of the school day.

I'd also suggest in this specific case that the teachers that work for the holiday club probably have separate contracts of employment, with the holiday club probably operating as a separate entity.

OP posted a screenshot on page 1 that says welfare services are exempt from VAT. It specifically says breakfast clubs and wrap around care will remain exempt. Section 2.16.

Section 2.17 covers things like Stagecoach which apparently are already eligible for VAT if the provider is VAT registered.

If they stick to this it's pretty clear cut IMO

Stagecoach may be eligible for VAT if the company earns enough, but I can also pay for it through tax free childcare, just like afterschool club. What about Sat drama club at school? Am I going to have to pay VAT on that? How do they decide what iq educational, and what us childcare? Many holiday clubs are sports, dance, drama or art classes.

Well yes of course they’ll now have to charge VAT - how else did anyone think they’ll find any money?!

This is ridiculous. If anything is a "luxury", it is using fancy facilities for wrap around carr, which is not essential (I get it is a primary concern for working parents, but it not the essential purpose of a school or mandated by law or government). However, it is essential that all children between 5-18 get an education. That is not a luxury.

This seems to have everything the wrong way around. Optional extras seem to be exempt and essential education is caught! I am massively against the policy in general, but given this topsy turvy wording proves beyond doubt this is an attempt to just punish children deemed too wealthy, I have as much sympathy for state parents caught by accident with any of their extra-curriculas or childcare as I do private parents struggling to pay. Labour clearly want to dictate that no child experiences beyond the most minimal of educations, therefore lowering standards across the board rather than raising us all up. A worrying indication of times to come in the state sector.

Except they are often not part of the school day. Very often on weekends and early morning or after school as part of a club.

They've got in the right way round, alright. They're happy for the private schools to act as babysitting services while the parents are at work earning the cash to pay 20/40/45% tax, but try to teach them anything and that'll cost us another 20%. The State doesn't exist for us. We exist for them. They look at us and our children and only see pound signs.

@MyNameIsFine I think it only applies where it is the private school providing the activity or a closely linked body.

In my situation if the state school were to provide exactly the same wraparound care that wouldn't be vatable.

It really does seem like a punishment tax.

I think if this is an established afterschool club that's been running long before the VAT they will likely just carry on as before. I think it's schools trying to change their hours of normal school to Saturday or the evening to avoid the VAT that they're trying to catch.

Except they are often not part of the school day. Very often on weekends and early morning or after school as part of a club.

Clubs are already subject to VAT.

@heavenisaplaceonearth our school includes lunches with the fees but some don’t- on paper some schools appear cheaper because there’s lots of mandatory add ons. Ours is one fee for everything unless you choose to do 121 music lessons.

@FluffMagnet Morher Pukka and others are campaigning for childcare to be treated as essential. Since our world appears to be set up to have two parents working, we need robust, high quality childcare to facilitate this.