Greenock independent school closes due to VAT imposition
Cedars School in Greenock, Inverclyde will close at the end of September, despite a desperate attempt by parents to save it by raising £50,000, the Greenock Telegraph has reported.
However, the board of the school, and the board of its parent charity Struthers Memorial Church, confirmed the school will close with 14 job losses – eight full-time teaching staff, five part-time teaching staff and a full-time administrator.
The school teaches children aged from five to 18.
Jennifer Offord, chair of Cedars’ board, said: “We are deeply saddened to report that Cedars will close on Friday, September 27, after 25 years offering a caring and Christian education to children in Inverclyde and the surrounding areas.
“Our thoughts and prayers are first for our pupils, parents, staff and volunteers but also our friends and supporters, who have faithfully and sacrificially given to keep the school operating over many years.”
Cedars’ head teacher Emma Rukin commented: “I am immensely proud of what Cedars has achieved and the lasting, positive impact it has had on young lives in our area. Our pupils will be seeking placement in alternative schools and we are working closely with local authorities to secure these places and to support pupils through the change.
“We will also work to support our exceptional, dedicated and caring staff who will be seeking alternative employment.”
In a communication to parents the school stated it was closing due to the new Labour government’s decision to add VAT onto private school fees from January next year, and that Struthers wouldn’t be able to absorb the cost of a VAT-related fee increase due to having insufficient reserves.
The school also blamed a drop in the school’s roll, which was down to 76 prior to the VAT announcement, with efforts to market the school failing to reverse the decline.
On the imposition of VAT, the school said: “The timing of the surprise general election and the announcement two weeks ago, within four weeks of being elected, that the government would implement their manifesto pledge with effect from January 1 took most commentators by surprise.”
The Labour MP Martin McCluskey, in whose constituency the school sits, said: “Labour was clear during the election that we could no longer justify tax breaks for private schools while our state schools lacked much needed investment.
“The cost of the VAT tax break for private schools is over £1 billion a year. By ending the tax break for private schools, we will release £150 million that can be invested in state schools across Scotland.
“Some have suggested that this policy has come as a surprise, but it has been Labour policy for many years, and was re-announced last January. We were clear in our manifesto that if we won the election we would deliver on this pledge.
“Many private schools have made preparations to respond to this, including through use of their own reserves or through an increase in fees.
“I have been in touch with the director of education at Inverclyde Council who has assured me that there are places available in Inverclyde schools for any child who is affected by any decision the school may make to close. The council has also offered to support families through the enrolment process.”