How soon might a Labour Government put 20% VAT tax on private school fees?

[jennylamb1]

That really. Given that an election date has been declared for July, how soon might a Labour Government set their first budget?

It’s extraordinary on these threads that apparently absolutely no one sends their children to independent schools simply because they want to.

And on the tax band thing - you only pay the higher rate on your income over that level, the extra tax is nominal. Plus just stick more in your pension and problem solved.

@viio we don't prioritise education in this country.

Individuals do, and parents will fight for their own child's education, but as a society we don't place a value on all children or accept that all of us would be better off if everyone was better educated- even the people who have nothing to do with us.

We have always sneered at teachers (press and tory governments at least) and pay and treat them poorly. We have made child poverty worse, have crippling housing costs.

The last 14 years have done nothing to improve education for all, but also have had no interest in doing so.

Incorrect, Finland has private schools. You don't pay for the core teaching, you pay for all the extras that are added on like sports, crafts, after school care etc.

@Dibblydoodahdah have you listened to people's stories about the changes to universal credit or PIP and how much harder their life has become?

I doubt you were protesting about that, and yet you want us all to suddenly notice the unfairness to you of this one very specific policy.

@OhCrumbsWhereNow precisely. You pay for the privileged bits, not the education

@Boater "Also, it undertakes many charitable enterprises such as sponsoring a state school that was failing."

Sponsoring in what way?

Here we go again.

Private schools don't charge VAT because Education is VAT exempt under EU law.

Private schools pay VAT like everyone else - but because they don't charge VAT they cannot reclaim it. Labour's policy will mean they can now reclaim the VAT... one major Public School is currently building two new boarding houses and a sport's centre and looking forward to the big fat cheque they will be getting with their VAT rebate.

Charitable status is a completely separate issue from VAT - Labour have already u-turned on removing charitable status. Around 50% of private schools are charities and that will not change.

I don’t know - was quoting another poster. I imagine the Headmaster ‘mentored’ the other one despite having no idea what a state headteacher had to deal with and they allowed the state kids to use their rugby pitches.

Yes I have. As my mam always said, two wrongs don’t make a right. In fact I have strongly advocated against changes to disability benefits for a very long time, much longer than I’ve been on this forum because my mam was disabled.

"one major Public School is currently building two new boarding houses and a sport's centre"

Doesn't really add to the 'cash strapped private school and dwindling numbers' argument though does it?

No

The arms race some schools have got into re facilities is a major factor in their fee inflation. A period of reflection on whether the children really need state of the art golf simulators or rifle ranges wouldn’t go amiss.

Maybe progressive rates are the answer.

So if you've got small classes and nice pitches it's one rate, full scale olympic velodrome another.

@Boater - Sorry, got confused with who was posting what!

I am always sceptical of private school's involvement with state schools. A big name one local to me publicises that it "sponsors" a state primary- it sends year 9s and 10s over to listen to reading- which they then use as the volunteer element of their DofE!

Did you bother to read the post in full that I was responding to or did you just pick out that snippet to support your agenda?! Come on, be truthful!

The poster was talking about all private schools being profit making businesses, which you cannot have whilst they are charities. As I said, who takes the profits?! What happens regarding their current charitable objectives? I’d like to think that at my DC’s school some of it would continue like the voluntary service that supports the elderly and disabled in the local community. However, I can’t see many of the parents being happy with the teachers and resources being shared with the state primary school that they are currently sponsoring when they have been stung for even more tax.

But that’s one school. There are huge number of private schools, particulary prep schools, that are operated from buildings that are little more than large houses with very basic facilities. Happy to take you to a few if you like.

@Dibblydoodahdah I am well versed in local prep schools thank you very much.

Agenda?

I picked out the bit of your post that was inaccurate

If you want to PM I will share what my DC’s school does. I’m not putting it on here as it’s too identifying.

It wasn’t inaccurate because it wasn’t specifically addressing the VAT issue. As I said the poster that I was responding to was making comments about private schools being run as businesses.

Oh so you agree that they don’t all have fancy facilities then?! You were giving one example and using it to apply to the sector as a whole. Are you saying that there a no private schools that are struggling and are at risk of closure?

No.

Are you saying all private schools are run on a shoe string with high levels of SEN provision?

@Dibblydoodahdah "If you want to PM I will share what my DC’s school does. I’m not putting it on here as it’s too identifying."

Obviously there are some private schools which have had long term commitment to community and public service and are to be commended. The sad thing is that I could probably narrow down which school you are talking about to one of a select few without you needing to name it. Most, if they do anything, are along the lines of the one I mentioned in my post.

Apparently 40 odd private schools close every year, more in 2008/2009 for example. This was discussed on X last night when the Telegraph sought to link Alton School’s closure to VAT rather than falling numbers for several years. Its not unusual to see threads about indies closing because they are no longer financially viable.

States are also closing, particularly in London, due to falling numbers of children.

Schools close. They always have done and the children go elsewhere. It’s hardest for those in exam years but parents who are on the ball, and look at the freely available financials, don’t usually hang around and move their kids in advance so they aren’t impacted.

@Boater I am quite willing to tell you that I send my children to private school purely through choice. I had a great state alternative but decided that the education they would receive in the private school would be better. The state now no longer pays for my children's education, and two other children get their places in a great state school. I meanwhile choose to spend that money on education rather than putting it into my pension.