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Rutland MP urges government to delay VAT increase on private schools

By Sarah Ward - Local Democracy Reporter

14th Oct 2024 | Local News

There are ten independent schools across Rutland and Stamford that would be affected by the introduction of VAT. (Photo: Grace Kennington)
There are ten independent schools across Rutland and Stamford that would be affected by the introduction of VAT. (Photo: Grace Kennington)

An MP has urged the government to delay the VAT increase on private schools until the next academic year. 

Speaking in an opposition day debate this morning (Weds, Oct 10) Alicia Kearns (Con – Rutland and Stamford) argued that due to the lack of available GCSE places in any of Rutland's three state schools, there should be an exemption for parents paying for private education in the county. 

She said she had been receiving 'heartbreaking' emails from parents who were concerned their children would have to leave their independent school mid-way through the academic year. 

The Labour government has pledged that from January, independent schools will have to pay VAT, from which it had previously been exempt due to its charitable status. The schools have now passed that extra cost onto the parents. 

The MP accused the government of bringing in a 'cruel and vindictive' policy driven by ideology and argued that parents using the public school system were helping the state system by easing the burden.

Kearns is keen to highlight the importance of independent schools to the local economy in Rutland and Stamford. (Photo: Alicia Kearns MP)

She said: "Labour's decision to impose VAT and business rates on independent schools is cruel, vindictive and will hurt those who put so much on the line for their children to attend the school right for them. 

"Not only will it risk thousands of jobs in our communities, but it will also harm our local economy, and significantly impact those with SEND, military families and our comprehensives who are receiving no support for the increased number of students they will receive. 

"An independent report commissioned by the Independent Schools Council estimated over 17% of pupils would leave within five years of VAT being added to fees, meaning this policy would cost the exchequer, not raise revenue. 

"I will continue to do all I can to raise my voice against this dogma-driven policy." 

There are 10 independent schools across Rutland and Stamford and the sector employs 2,000 people locally. 

     

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