Private School VAT Backtrack?

[SofaThrow]

There seem to be rumours swirling that Starmer has decided not to bring in the VAT on private schools until possibly 2025/6. After being very clear last year that there would be no phase in and that they would bring it in immediately.
Nothing is as yet confirmed I don't think.

Hopefully this will give both sectors breathing space to prepare (if he doesn't long grass it completely).

Rumours... Nothing confirmed... There's a lot of those around.

Let's come back to this when there's an actual statement. Otherwise it's just going to end up like all the other threads on the same topic.

Well it will certainly be delayed until the OBR has scrutinised the Budget. As it should be. Shame Truss forgot to do that bit.

Fair point.

when Blair got in he abolished assisted places pretty much straightaway. It will be a massively popular move with (93-94 % of) the electorate!

What’s the merit in the delay? It’s a nice easy tick in the “policy done” box. New government moves fast. The people who object to this policy are not going to vote Labour. And as for the delay, it’s a given that the next Finance Act is in 2025, making changes for 25/26.

I think there will be lots of private school parents who are Labour voters who object to the policy. The boroughs of Kensington & Chelsea, Wandsworth, Richmond, Hammersmith, Westminster, Camden & City of London all have over a quarter of children privately educated. Whilst nationally only 6-7% of children are privately educated they are not all spread over the country equally so there are pockets of the country where lots of parents may be very worried and vote accordingly.

I am sorry but you seem to be making my point for me. People who are worried about the cost of VAT on school fees are not going to vote Labour. Even if they are in concentrated in parts of Kensington and Westminster which is no great surprise.

If they did I would vote for them. I like a lot of their policies but can't do the VAT. I do like the Lib Dems though - at least they are talking about Brexit, genocide and sewage as well as NHS - the main 2 parties deem these as untouchable subjects.

I don't think you are right there. Obviously the really rich Tories won't but a lot of private school kids are middle class and just fed up with the state for various reasons or have SEN.

Something like 43% of parents at private schools didn't go to private. It's not as many are posh as you'd think.

Where have you read these rumours? Fingers crossed they’ll see sense and not rush to implement it for the sake of it. The consequences need to be fully considered.

But I am one of these people. I will be paying VAT on my school fees. I am comfortable not rich. People have had years to decide whether to move their kids. Anyone who thinks Labour will not do this needs their heads examined. They will. Saying that you are a middle class person who just happens to send your kids to private school but thinks because they are otherwise pro Labour that they should not have to pay should vote for another party.

But it could never have come in before 2025/6 - not enough parliamentary time

I’d vote Labour if they scrapped this. But I just can’t vote for something that so many people already scrimp and scrape to pay for, and state schools can’t cope now, imagine if people are forced to take their kids out of PS and put them into state schools - schools would need to be extended and more teachers would need to be recruited, which would cost more than than the VAT would generate. And there’d be an absolute bun fight for places in good schools & grammar schools.

It’s rumour mixed with wishful thinking.

Thank you! What a canard the idea of delay is.

I think they would look like a more responsible government if they committed to taking time to draft this change properly and give schools time to plan. Saying they will do it immediately makes it look like a politically motivated opportunistic decision rather than sensible policy.

This policy really seems to have majored on mumsnet. almost like there is a concerted campaign to whip up vitriol around it…… ;)

Fair enough. It’s an election period.

But it’s also highly disingenuous to present it as anything other than very popular with the vast majority of Labour voters.

Reeves has said no fiscal event until autumn at the earliest, as a PP said to give the OBR time to do their forecasts. A measure like this would almost inevitably be attached to a finance bill, so we wouldn't expect to see it until the autumn statement and a few months until Royal Assent. Then most measures begin on a common commencement date (6 April or 1 October) though that can of course vary.

I will be, Lib Dems. The VAT as it is upending our lives at the moment Labour keep changing what they intend to do, so hardly had much clue they'd stick to this policy that doesn't earn much and just serves the rich. I can see why they call you champagne socialists now!

Schools have had plenty of time to plan. Most of them have. Do not tell me that the school you may use has not contacted you about fees increasing. Mine has.

This policy is very simple to implement and it’s been Labour policy for years. They know how to draft it. They will have already spoken to the Civil Service on how to do it.

It's not my kid but I will have to give up work to look after him.

The school hasn't shared any plans with the parents yet, just said they are looking at it. If they have ways to keep parents at the school who are barely managing they haven't told anyone and 2 kids in his year have left already this last term to go to the grammar. We didn't know when the election was going to be called or if it would be implemented that term or the following year. Don't make out it's easy to plan for just because you can easily afford it.

Private education is a luxury item. I’m a single parent. I really have to make it work and I do. Easy is moot. If it’s important to you, you will find the money. I did. The fact that two children left for a grammar school tells hog that actually when some parents did consciously think no, we can’t do this. The school I use wrote to the parents to say that they could promise nothing and fees would increase. This is a market; surely you can see that?

Labour isn't going to lose Camden and Westminster..Richmond is lib dem..

All the inner london constituencies have lots of childless people who will not be affected. And even if they lose all these constituencies but win all the marginal towns thats still a better result for Labour..

I have friends from the regions who don't know a single person who went to private school... so it is hard for them to relate. We live in the nw london suburbs so different story for us...

I think it’s easy to get fixated on a single issue that is important to you and presume this will affect others’ voting choices. In reality, it is all on the balance of what people think is best for them, and to a lesser extent the country.

I find it very hard to believe that there will be anything other than a labour govt.