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Value Added Tax on private education


Value added tax on private education - whilst I strongly disagree with a policy which appears to be based on shaky theories for its justification, its looking increasingly likely VAT will soon be an extra financial burden for families, many of whom are already struggling to pay private day and boarding school fees.

 

This saddens me to the core and my heart goes out to all those parents facing the dilemma of whether to join the bun fight for a last-minute January place at their local state school, home school, raid their pension pot, sell possessions, or even rob a bank, so they can continue to pay their private and boarding school fees.

 

Turning lemons into lemonade, let’s focus on the positives for a moment and explore the question - what is value added, when it comes to private schooling for your children?

 

I know, from conversations with our clients, that many parents are delaying taking the leap into choosing a private day or boarding school education, particularly those considering the cost of boarding school. Let’s hope the below encourages parents to take that leap, despite the additional VAT cost.

 

Put simply, it’s a question of what comes in, when compared with what goes out.

 

Let’s consider a school with many applications per place and a rigorous, academic, entry test process – we call these selective schools. If your child receives a place offer and has the right character to attend such a school, you’d be incredibly disappointed if they left school without a whole string of A grades and an offer to attend a top university. It’s not surprising that these schools sit at the top of the examination result league tables, winning accolades as recognition for their results. Rightly so. The UK is exceptionally lucky to have many sought-after, world-leading, academic private schools and, for the right child, I can’t think of a better way to invest in their future.

 

Now let’s consider a school which has one or two applications per place, perhaps less. As well as assessing children’s academic ability at point of entry, they also consider all-round character, talents, interests and any neurodiverse need a child may have. They’re mostly looking for a can-do attitude and a positive approach to academic work, and being fully involved. We call these recruiting schools. Examination results are often spread across the board with many students achieving top grades of A and A*. But for some, achieving a string of 5’s and 6’s at GCSE, or a distinction in a BTEC Diploma is a truly incredible achievement. I’d argue these are perhaps the best achievements of all.

 

This is value added. In other words, on examination results day a child’s grades are, on average, one or two grades higher than their assessments upon joining the school indicated they might be. For some children, the difference is even greater. I heard last week of a child who joined a private school for sixth form and changed a prediction of CCC at A Level to A*A*A.

 

So, how do private day and boarding schools achieve value added?

 

It’s my belief that a happy child will achieve their true potential, which will then be reflected in achieving the best examination grades for them.

 

Happiness and fulfilment of potential comes from:

  • Academic challenge pitched at the right level for each child. Without challenge, how do any of us know how far we can go? Too much challenge, and a child can lose confidence and switch off. Getting this level right is crucial.

  • Encouraging a growth mindset, comparing progress in regular assessments only against oneself, always asking how I could do that a little better next time.

  • Inspiring, valued and committed teachers, with strong leadership from the head.

  • Small class sizes.

  • A wide range of subjects and qualifications across the curriculum, offering choice which inspire all.

  • Qualified 1-2-1 support for children with neurodiverse needs.

  • Building confidence, communication and life skills.

  • Nurturing and recognising talents in sport, music, drama or the creative arts.

  • Every child feeling valued, encouraged and inspired to try new things.

  • Making friends with like-minded peers and a support network for life.

  • A house structure with strong pastoral care which gives a sense of family, and opportunities to contribute to the school community.

  • A committed and supportive parent community who support school events and take an interest in supporting their child’s progress at school and at home.

 

The truth is all children are not the same. We need both selective and recruiting private day and boarding schools.

 

During the strategy phase of our consultancy work with client parents, helping them to choose and apply to boarding schools, we centre discussions on the child and what’s best for them.

 

It’s surprising how many families start their boarding school search with discussions about named schools. With this approach so many become confused. How can you choose the best school for your child if you haven’t first decided on a strategy to define what you are looking for in the best school?

 

My advice is to remember, when talking to friends and family, what’s best for one child, may not be the best school for another. Looking at value-added schools could be the key to your child’s happiness and achieving their true potential. This might also help many smaller private schools, which deliver so much for their local communities, to survive closure, despite the anticipated addition of VAT to school fees from January 2025.



If this piece on UK Boarding Schools has made you think considering British boarding schools could be the right option for your child, we offer a complimentary call for all families so we can explore this discussion further on an individual family basis. During the call we will ask you about your child, and your ambitions for their education. Then, we discuss how we are best to help you navigate the often-confusing waters of choosing, applying and securing an offer of a place to join the best British boarding school for your child and family.


Get in touch with us to find out more.


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