Independent Schools: VAT and Business Rates Exemptions Debate

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Department: HM Treasury

Independent Schools: VAT and Business Rates Exemptions

Christine Jardine Excerpts
Tuesday 8th October 2024

(1 week, 1 day ago)

Westminster Hall
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Bradley Thomas Portrait Bradley Thomas
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My right hon. Friend makes a valid point, which I will touch on later, and I hope the Minister will address it. Independent schools provide additional value-adding capacity to SEND education, as has been acknowledged, and VAT on fees risks their ability to do that. There is simply not the capacity in the state sector to accommodate all those extra pupils, particularly when SEND services are already under pressure.

Christine Jardine Portrait Christine Jardine (Edinburgh West) (LD)
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I congratulate the hon. Member on securing this important debate. My city of Edinburgh has the highest proportion of independently educated children in the country, at between 20% and 30% every year. According to the local Labour authority, 16 schools will already be over capacity at the end of this year. If the predicted percentage of children drop out of independent education into the state sector, it will not be able to cope. Does the hon. Gentleman agree that this measure is ill thought-through and that the Labour Government must come up with a way to support education, particularly as the matter is devolved in Scotland and VAT is reserved?

Bradley Thomas Portrait Bradley Thomas
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I agree with the hon. Member. The examples she cites highlight the situation perfectly. The Government have failed to consider that the capacity is not there. We have already seen, in the few months since this Parliament began, several debates highlighting issues of SEND capacity.

Another mother wrote to me to outline the benefit that independent schools can have for children with SEND needs:

“We moved our autistic child to a small independent school and the transformation was immediate. Classes are small and quiet, and the school is very nurturing and family oriented. It has been wonderful to see her blossom and slowly get more and more involved in school life. We would not have chosen for our daughter to go to private school but there was no suitable state provision available. We are paying a significant amount of money to be able to do this. Adding VAT on top feels like we are being punished twice for having a child that doesn’t fit into the state system, either in mainstream or specialist schools.”