Finance Bill Debate

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Department: HM Treasury
Shivani Raja Portrait Shivani Raja (Leicester East) (Con)
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In my constituency, thousands of hard-working families diligently strive to give their children the best possible start in life. Some choose our excellent state schools, while others opt for independent schools that they believe more closely meet their child’s individual needs. The crucial point is that until now, parents have enjoyed the freedom to make that choice, rather than the decision being imposed on them from on high. Today, more than 1,000 pupils in Leicester East attend independent schools, and their families are not the super-rich. These are ordinary, hard-working people who have scrimped, saved and carefully budgeted.

Chris Vince Portrait Chris Vince (Harlow) (Lab/Co-op)
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Is the hon. Lady suggesting that those people who send their children to state schools do not budget?

Shivani Raja Portrait Shivani Raja
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We are talking about people who have often sacrificed luxuries and gone without to afford the education that they believe is best for their children. This is not the preserve of billionaire hedge fund managers; we are talking about nurses, small business owners and tradespeople who have managed their finances meticulously to secure a particular educational path. They are the very working families who Labour claims it would never tax.

This new measure is fundamentally a tax on education, and the reality on the ground is deeply concerning. As a result of Labour’s policy of slapping VAT on independent school fees, the careful financial planning of hard-working people in my constituency has been shattered. Children are being forced out of stable, nurturing learning environments mid-term. Their friendships and routines are being severed, not by parental choice or educational necessity, but by a Chancellor’s whim. To add insult to injury, some families find themselves unable to secure a state school place locally, leaving them in educational limbo as a result of the Chancellor’s twisted game. I have already heard from one mother who, no longer able to afford her daughter’s independent school, cannot find a suitable state alternative in her catchment area. As we have heard in the Chamber today, that is not an isolated case, but a troubling sign of the turbulence that this policy is creating.

What do the Government propose for the children who are caught in the crossfire of envy-driven politics? Labour’s attempt to penalise perceived privilege has ended up punishing ordinary, aspirational families. Meanwhile, the notion that this policy will somehow improve state education is fanciful at best. Instead of supporting better standards and opportunities for all, this tax is about pitting one group of parents against another—and what is worse, this was done without a proper impact assessment. Instead of looking at the real-world consequences—the strain on families, the sudden influx of pupils into our already stretched state schools and the emotional turmoil placed on children—the Government rushed forward, blinded by the politics of envy. I call on Ministers to think again. This is not about reform or fairness; it is an attack on parental choice and on hard-working families who dare to hope for something different for their children. If Labour truly stands for working people, it must listen to their voices, look at the damage this will cause and scrap a measure that so clearly undermines the interests of children and families in Leicester East and beyond.