Wubi News

'VAT on private school fees has a huge impact'

2025-02-17 19:00:18

A woman from West Sussex has said the government's new tax on private school fees has had a "huge" impact on her family.

Lisa, who owns a business in Hassocks, said the changes "should have been better thought through" and phased in "not to apply straightaway to those already in the private sector".

Fees at the UK's 2,500 private schools became liable for 20% VAT from 1 January.

A government spokesperson said: "Ending tax breaks for private schools will raise £1.8bn a year by 2029/30 to help deliver 6,500 new teachers and raise school standards, supporting the 94% of children in state schools to achieve and thrive."

Chancellor Rachel Reeves confirmed private schools would no longer be exempt from VAT in the autumn Budget, saying the money raised would help "provide the highest quality of support and teaching" in the state sector.

Lisa said moving her daughter from a state school where she "found class sizes a challenge" to a private school had been a "big financial strain".

She told Politics South East: "We made the decision to go to a smaller school.

"She's doing amazing. She's a different child."