Private schools ‘priced out' middle classes, says Labour

Bridget Phillipson defends plan to charge VAT on school fees

- DAVID MADDOX

Labour has hit back at criticism of its plans to impose VAT on private schools, blaming inflation-busting hikes in school fees over the years for “pricing out the middle classes”.

In an exclusive interview with The Independent, shadow education secretary Bridget Phillipson suggested that above-inflation fee increases by private schools had made it politically easier for Labour to impose 20 per cent VAT on fees in order to fund 6,500 more state-school teachers. She said private schools had already “priced out” middle-class families.

“I think private schools, because they’ve whacked up their fees way beyond inflation, year after year, have priced themselves out of the reach of many middle-class parents who would, in the past, have looked to independent schools and might have considered it as an option,” she said.

Ms Phillipson said she holds no grudge against parents who choose private schools, but believes it is a question of priorities. “I respect the rights of parents to decide where they choose to educate their children. If they determine that the best place for their child is within a private school, that’s absolutely their right,” she said.

“I just believe that we need to make sure we’re prioritising public money, and we shouldn’t be giving unjustified tax breaks to private schools, who are their own businesses and can make choices about how they manage their budgets and can plan accordingly.”

Private school fees rose by 8 per cent for the 2023-24 academic year, with a place at a day school now costing on average £18,000 a year, according to recent figures. The figures, from the Independent Schools Council (ISC), also showed a drop in enrolments at private schools, which the organisation says is driven by concern over costs.