In 2025, over 50 private schools in England announced closures due to a new 20% VAT on school fees. This tax, intended to fund public services, has adversely affected school budgets and family finances, leaving many parents unable to afford private schooling. At least 54 independent schools have closed or planned closures since the year began, leading to concerns about a crisis in private education. The closures are also stressing local state schools as displaced students search for new placements.
More than 50 private schools across England have announced closures so far this year, following the introduction of Labour's 20% VAT on school fees in January 2025.
The policy, aimed at raising funds for public services, has hit school budgets and family finances hard, with many parents now unable to afford private education.
At least 54 independent schools have closed or confirmed plans to close since the start of the year, prompting concerns over a growing crisis in the private education sector.
Sector leaders warn that the closures are now putting pressure on local state schools, as displaced pupils seek new places.
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