Government under pressure for exemption to VAT on fees

  • 10th October 2024

The new Labour administration is facing a two-pronged attack on its plans to impose VAT on private school fees.

One area of resistance is from schools with a Christian ethos. The Independent has reported that Emmanuel School in Derby, The Branch Christian School in Dewsbury, West Yorkshire, and The King’s School in Fair Oak, Hampshire have written to the government threatening it with a judicial review if it doesn’t drop the draft legislation.

The schools claim the policy would breach human rights law and unlawfully discriminate against them.

The Christian Legal Centre’s chief executive Andrea Williams told The Times that VAT on fees would “make independent faith schooling unaffordable for many families and may force some small faith schools to close”.

As reported by The Telegraph, the government’s second headache comes from The Army Families Federation which has written to chancellor Rachel Reeves warning that many military families will consider leaving the armed forces unless exemptions to the policy are granted.

The Treasury stated earlier it would “closely monitor the impact” of the policy and the government is said to be considering adjustments to the Continuity of Education Allowance, which provides government funds to cover school fees for children of military families, which would mitigate the increased costs caused by VAT.

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