Independent School Fees: VAT

Debate between Lord McFall of Alcluith and Lord Lexden

Thursday 13th March 2025 Lords Chamber

[Lord Lexden]

To ask His Majesty’s Government what assessment they have made of the results of imposing value added tax on independent school fees on 1 January.

[The Lord Speaker (Lord McFall of Alcluith)]

My Lords, before I call the noble Lord, Lord Lexden, for the third Oral Question, I should remind noble Lords that there are active legal proceedings relating to the policy of applying VAT to private schools. Part of my role is to decide whether, in specific circumstances, it is appropriate to waive the application of the sub judice rule, under which we do not debate matters before the courts. In view of the national importance of this issue, I have decided to grant a waiver of the rule to allow reference to this matter on an ongoing basis. It is relevant to my decision that a similar waiver has been issued in the House of Commons.

[Lord Lexden (Con)]

My Lords, I beg leave to ask the Question standing in my name on the Order Paper and declare my interest as president of the Independent Schools Association, whose 700 members—mainly small schools—are now at serious risk of damage or closure.