The Independent Schools Council’s deputy chief executive and head of policy Simon Nathan has said that the government underestimated the negative effect of its decision to impose VAT on school fees, in addition to its other financial policies.

Talking to The Telegraph, Nathan said: “Many schools took the step of reducing their fees, excluding VAT, in January to try to cushion the impact on parents. But schools’ options were limited – they were hit with a triple tax whammy of the loss of business rates relief, the rise in National Insurance employer contributions and the requirement to place 20% VAT on fees. It seems clear that the government underestimated the impact their decision to tax education would have on schools, families and children.”