The Chancellor’s Autumn Budget has seen more than 50 private schools since the VAT raid on private education to rake in £1.8 billion by “ending tax breaks.”
Industry experts are warning Labour’s policies will add strain on the public sector as more and more parents are taking their children out of private school.
Trop prep schools, sixth form colleges specialist schools for children that need additional needs and at least 54 private schools have all closed since 1 January 2025 amid Labour’s drastic tax policies.
Labour will raise around £1.8 billion a year to support state education which will also pay for 6,5000 teachers, or so they claim, as the number of children in private schools is falling rapidly.
Government figures shows that more than 11,000 pupils left private schools in England, plummeting from 593,486 in 2023 to 582,477 from 1 January 2025.
Julie Robinson, chief executive of the Independent Schools Council (ISC), said, “Anyone interested in this policy as a revenue raiser should be concerned by the number of pupils who have already left independent education, which is already much higher than the Government predicted.”
She added, “While there is a combination of factors contributing to school closures, for many, the Government’s decision to tax education has proven a bridge too far.
“We are likely to see further closures over the coming months and years as the effects of VAT and other tax measures mount up.”
A Department for Education spokesman said, “Ending tax breaks for private schools will raise £1.8billion a year by 2029-30 to help fund public services, including supporting the 94% of children in state schools to achieve and thrive.”
“The number of children in independent schools has remained steady, while the most recent data shows the rate of families getting a place at their preferred secondary school is at its highest in almost ten years.”
The Chancellor’s “vindictive and ideological schools’ tax” has forced a private school to close for the last time in its 75-year history.
Rachel Reeves introduction to the 20% tax on school fees which has helped to cause fewer number of pupils and the increase in employer’s national insurance following the 2024 Autumn Budget has made it impossible for the school to operate, Bishop Challoner School said in a letter.
The school will close their gates for the last time on 4 July after the students have finished their exams.
The school will help parents find placements for 270 students and over 40 teachers will lose their jobs.
Local Conservative councillor, Adam Grant, said, “The decision to close the school is a devastating consequence of the Labour Government’s vindictive and ideological schools’ tax, driving the cost of an independent education out of the reach of normal hard-working people.
“This closure impacts far more than just bricks and mortar. Dedicated staff are now facing unemployment — individuals with homes, families, and livelihoods at stake.
“Students, many of whom have known no other school, are being uprooted from their educational environment at a crucial time in their development.
“They and their families now face the distressing challenge of securing alternative placements in a system already under significant strain.”
