A key policy of the Labour government elected in 2024, the imposition of VAT on public school tuition fees has affected not just domestic students but also international students, with schools scrambling to lower fees and increase bursaries in order to offset the increased costs. Nevertheless, the impact has been substantial, with the May 2025 annual census showing approximately 13,000 students, both domestic and international, to have left public schools in the last twelve months - well above government estimates.
This panel discussion offers a wealth of insights into the impact of VAT on independent school fees in the UK, identifying the steps that schools have taken to counter the issue and considering what else might be done. With reference to the latest enrolment data, which is already showing a small but significant decline in international students, the session will identify potential competition for the UK independent school sector, and detail the likely impact as schools adjust, looking at both the financial implications and the ability of affected schools to offer the same high-quality education in the coming years.