The rise of the private school ‘prepayers’
Best laid plans, eh? There have been a series of miscalculations when it comes Labour’s plans to charge VAT on private schools. First there was the pupil exodus from schools and the inability to recruit enough teachers to the state sector. Now private school accounts now reveal that parents have prepaid vast sums of money to avoid the VAT levy applied in January of this year. What was meant to be a morally redistributive tax dreamt up by Labour has become a sham. The richest may not, in fact, pay any VAT Figures released in annual accounts reveal that the top 50 private schools held £515 million in advanced fee schemes, up from £121 million in 2023.