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Chancellor confirms plan to introduce VAT on independent school fees from January 2025
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Independent sector
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Chancellor Rachel Reeves has confirmed that 20 per cent VAT will be levied on independent school fees from 1 January next year. The charge will also be applied to all fees paid in advance from now on, in an effort to stop schools and parents from using pre-payment schemes. The decision means that parents could find themselves paying higher fees in the middle of the academic year. Julie Robinson, chief executive of the Independent Schools Council (ISC), is quoted, saying: "Thousands of children face having their education disrupted as a result of this unprecedented tax. It will increase pressure on state schools and on an already-stretched SEND system, as well as on faith provision, on specialist arts education and on military families. The draft legislation was published before consultation with independent schools. We will be working over the coming months to engage the government on the consequences of this policy on schools, families and communities – it remains our belief that the best way to improve education for all is for schools to work together, not to tax education." By Hugo Gye and Connie Dimsdale, iNews. This story has also been covered by The Times, Daily Mail, Financial Times and The Standard.
Treasury documents published after the Chancellor's speech have noted that the VAT policy would drive some parents out of the independent sector, stating: "The Government recognises that these policy changes may lead to increased costs for some parents and carers, and that some pupils may subsequently move into the state education sector." This marks the first time Labour has acknowledged in writing that independent education would become unaffordable for some families as a result of the VAT changes. By Poppy Wood, The Telegraph.
Labour's VAT policy could raise just £650 million a year, less than half the amount previously pledged, according to modelling carried out by HM Revenue & Customs. Diarmid Mackenzie, chairman of governors at Sands School and a member of the Independent Schools Association (ISA), is co-ordinating a coalition of small schools opposing the policy. Speaking to The Sunday Times, he said: "It’s clear that there’s very little understanding of how much revenue the policy is going to raise, what it’s going to cost, and the harms that it is going to cause." ISC CEO Julie Robinson is also quoted, saying: "We welcome the government’s commitment to running all its budget policies through the OBR, and would support a full and independent assessment being conducted on the intention to place VAT on independent school fees. It is vital all implications have been considered and mitigated to avoid disruption to thousands of children’s education." By Sian Griffiths.
Speaking to LBC today, Ms Reeves criticised the "obsession" with children who attend independent schools. She said: "There’s an obsession with the 7 per cent of children who are in our private schools, I’m more interested in the 93 per cent of children who are in our state schools, in buildings that are often falling down, with unqualified teachers." By George Grylls, The Times.
Speaking to iNews, parent Leanne Johnson explains her concerns about the knock-on effect VAT on fees could have on her children's small state school. She says: "My fear is that schools like ours might be forced to increase class sizes – a massive influx would disrupt the status quo and the lovely atmosphere that they’ve created at that school. I also worry we will have problems getting into a good local secondary school." By Isabelle Aron.
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Rachel Reeves axes Rishi Sunak's A-level reforms
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Education policy
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The Chancellor has cancelled Rishi Sunak's reforms to A levels, saying the plans would cost nearly £200 million next year, adding that Mr Sunak had not put any money aside to pay for it. Last October, the former prime minister announced his plan to replace A levels with a new qualification called the Advanced British Standard, designed to create "parity of esteem" between academic and technical subjects. The Independent provides a summary of the key takeaways from Ms Reeves' speech in the Commons yesterday. By Jabed Ahmed.
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School strikes 'unlikely' following 5.5% teacher pay offer
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Teacher pay
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Teaching unions have said more school strikes in England are "now unlikely" following the government's offer of a 5.5 per cent pay rise from September, with the National Education Union describing it as a "welcome step in the right direction". By Branwen Jeffreys and Nathan Standley, BBC News.
Schools Week features an article outlining everything schools need to know about the teacher pay deal. By Freddie Whittaker.
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Letter: Instilling a lifelong love of classical music in children
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Letters
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Dr Millan Sachania, headmaster of Immanuel College, writes to The Telegraph arguing "the key to instilling a lifelong love of classical music is to timetable music appreciation in junior schools". He draws from his own experience in his first teaching post where he introduced young pupils to the repertoire of Schubert, Chopin, Bach and Mozart, saying: "Soon, the youngsters were demanding from their parents CDs of such music for Christmas." The letter can be found halfway down the page.
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'Education cannot evolve if technology is not at the heart of reforms'
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Education policy
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Olli-Pekka Heinonen, director-general of the International Baccalaureate, writes in Tes arguing it is "essential" that digital technology is central to curriculum and assessment reforms. He encourages educational leaders and policymakers to "be bold", adding: "If the curriculum is to be reconsidered, then surely now is the time."
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The Independent Schools Council (ISC) monitors the national and educational press in order to keep independent schools up-to-date with relevant education news. The DNS is a service primarily for schools in membership of ISC associations, although other interested parties can choose to sign-up. We endeavour to include relevant news and commentary and, wherever possible, notable public letters. Where capacity allows, we may include links to ISC blogs, press statements and information about school or association events. News stories are selected based on their relevance to the independent sector as a whole. Editorial control of the DNS remains solely with the ISC.
Sign-up to the email service is available on our website.
Members can contact the ISC if they know in advance of news, letters or opinions that are likely to feature in the media, or are aware of existing coverage which they would like to see featured in the DNS.
Headlines and first-line summaries are written by the ISC with the link directing to the source material. You should read and comply with the terms and conditions of the websites to which we link.
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