Independent School Fees: VAT

Debate between Brendan Clarke-Smith and Nigel Huddleston

Wednesday 21st February 2024 Westminster Hall

[Nigel Huddleston]

My right hon. Friend, as always, talks very sensibly about this. The independent sector is a major contributor to our ecosystem. Of course, many teachers flip flop between the different sectors; the innovation in the private sector can also help the state sector, which is one of the many benefits that we have heard about today. In terms of the broader performance in the education system, not only do the Opposition consistently talk down the economy, our constituencies and our businesses but they also talk down our teaching profession. Actually, it is incredibly successful and we should be proud of what teachers have achieved.

Our commitment to quality education has seen 89% of all schools achieve “good” or “outstanding” at their most recent inspection, an increase from 68% back in 2010 under Labour. In the programme for international student assessment, our rankings for reading and maths improved by 10 places from 2015 to 2022 to ninth and 10th across the Organisation for Economic Co-operation and Development countries. Within that mix, as we all know, England performed better than Labour-run Wales or SNP-run Scotland, despite their higher funding. If we want to see what would happen in education under Labour, all we need to do is look to Wales—it is not an impressive performance. In the latest paediatric adverse childhood experiences and related life-events screener assessment of reading for 10-year-old students across 57 education systems, England ranked fourth internationally. I think we can all accept that those are good things.

This Conservative Government believe that there is a broad public benefit in the provision of education. That is why many education and training services are exempt from VAT, which includes an exemption on independent school fees. Labour does not seem to recognise the public good, as my right hon. Friend the Member for South Holland and The Deepings just mentioned. It wants to charge VAT on school fees and end business rates relief for private schools, taxing aspiration and inevitably putting more pressure on state schools.

[Brendan Clarke-Smith (Bassetlaw) (Con)]

I am very blessed to have two excellent independent schools in my constituency, Worksop College and Ranby House, and I speak as a former head of an independent school myself. We also have some excellent state schools at the Outwood Grange Academies Trust that give outstanding opportunities to local pupils. Does the Minister agree that the knock-on effect of this is not spoken about enough? Labour is actually adding to the capacity problems and neglecting the state sector in what it is doing to the independent sector.

[Nigel Huddleston]

My hon. Friend makes a really important point that has been repeated by many colleagues today. An introduction of 20% VAT can have two impacts: it will either push up prices or lead to cutting costs somehow. It is intuitively obvious that, if we push large numbers of pupils from the private sector into the state sector, it will inevitably put pressure on the state sector and therefore cost members of the public even more. The numbers suggested by the Opposition simply do not stack up. It is an ill thought out policy. The full knock-on impact has not been properly considered. VAT is an incredibly complex area. It is not simple to make blanket policy without considering the full impact.

Not every private school is some kind of Eton—a point made by my hon. Friend the Member for Worcester (Mr Walker) and several other hon. Members. There are exceptionally vulnerable people in very deprived areas of the country who rely on our private schools to provide the type of education they cannot get in the mainstream system.

Independent Fan-led Review of Football Governance

Debate between Brendan Clarke-Smith and Nigel Huddleston

Thursday 25th November 2021 Commons Chamber

[Brendan Clarke-Smith (Bassetlaw) (Con)]

I congratulate my hon. Friend the Member for Chatham and Aylesford (Tracey Crouch) on her excellent report. In my constituency I have Worksop Town—the Tigers—who are the fourth oldest club in the world. Worksop Town faced oblivion not too long ago but were saved by the fans and the community all pulling together to raise funds. We also had a generous benefactor as part of that. I am also a very long-suffering supporter of Notts County, who are the oldest professional club in the world, which I admit is hard work. Once upon a time, I was technically an owner of Notts County as I was a member of the supporters’ trust that took over the club. It was very well meaning and seemed to be a great model, but it was a fairly unmitigated disaster: we did not really have any money to invest and that caused problems down the line. Does my hon. Friend the Minister agree that, as is emphasised in the report, we must concentrate on a partnership between fans and owners and that, unfortunately, one cannot exist without the other?

[Nigel Huddleston]

I agree completely. It is really important that all clubs take their responsibility to their fans incredibly seriously. Unfortunately, as we saw with the European super league proposals, that relationship had broken down with some clubs. However, in the lower leagues in particular, we see much better relationships between owners and fans. Again, one of the important messages is that many owners have a great relationship with the clubs and the fanbase, including some of the international owners. It can work. My hon. Friend is right to highlight the importance of ensuring that that relationship is pivotal in any future business model.