Private schools lose high court challenge over VAT – how much more will you pay?

It looks like higher private school fees are here to stay, after the high court dismissed a legal challenge over the government’s VAT policy

Group of schoolgirls aged 5-7 walk down the street wearing school uniform and straw boater hats.
(Image credit: Yellow Dog Productions via Getty Images)

A legal challenge against the government’s VAT policy on private school fees has been dismissed by the high court, dashing hopes for many families.

Lawyers argued that the policy was discriminatory on the basis that some families have no alternative school in their area that can meet their children’s needs. This includes children with special educational needs and disabilities, and those looking for a single-sex or faith school. Lawyers also argued that the policy was unprecedented elsewhere in Europe.

Subscribe to MoneyWeek

Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE

Get 6 issues free
https://cdn.mos.cms.futurecdn.net/flexiimages/mw70aro6gl1676370748.jpg

Sign up to Money Morning

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter

Sign up
Swipe to scroll horizontally

Region

Day school cost-no VAT

Day school cost with VAT

Difference

Day school then boarding (from the age of 12) – no VAT

Day school then boarding (from the age of 12) – with VAT

Difference

London

£478,376.18

£574,051.41

+£95,675.24

£647,667.26

£777,200.71

+£129,533.45

Central & West

£477,100.47

£572,520.56

+£95,420.09

£639,210.34

£767,052.41

+£127,842.07

South-East

£475,099.26

£570,199.11

+£95,019.85

£638,346.23

£766.015.48

+£127,669.25

Greater London

£440.595.11

£528,714.61

+£88,119.10

£654,982.68

£785,979.21

+£130.996.54

East Midlands

£413,161.65

£495,793.98

+£82,632.33

£594,083.80

£712.900.56

+£118,816.76

East

£409,294.20

£491,153.04

+£81,858.84

£581,515.73

£697,818.87

+£116,303.15

South-West

£408,531.24

£490,237.49

+£81,706.25

£579,204.48

£695,045.38

+£115,840.90

Scotland

£403,944.05

£484,732.86

+£80,788.81

£562,827.44

£675.392.93

+£112,565.49

West Midlands

£380,675.57

£456,810.69

+£76,135.11

£569.394.26

£683.273.11

+£113,878.85

Yorkshire & The Humber

£353,541.29

£424,249.55

+£70,708.26

£517,004.91

£620.405.89

+£103.400.98

North-West

£341,741,42

£410.089.70

+£68,348.28

£504,810.68

£605,772.82

+£100,962.14

Wales

£328,032.92

£393,639.51

+£65,606.58

£505,163.56

£606.196.27

+£101.032.71

North-East

£319,261.82

£383.114.19

+£63,852.36

£493,799.42

£592.559.31

+£98,759.88

Northern Ireland

£154,010.70

£184.812.85

+£30,802.14

£304,179.56

£365,015.47

+£60,835.91

UK AVERAGE

£384,526.16

£461,431.40

+£76,905.23

£556,585.03

£667,902.03

+£111,317.01

Katie Williams
Staff Writer

Katie has a background in investment writing and is interested in everything to do with personal finance, politics, and investing. She enjoys translating complex topics into easy-to-understand stories to help people make the most of their money.

Katie believes investing shouldn’t be complicated, and that demystifying it can help normal people improve their lives.

Before joining the MoneyWeek team, Katie worked as an investment writer at Invesco, a global asset management firm. She joined the company as a graduate in 2019. While there, she wrote about the global economy, bond markets, alternative investments and UK equities.

Katie loves writing and studied English at the University of Cambridge. Outside of work, she enjoys going to the theatre, reading novels, travelling and trying new restaurants with friends.

With contributions from