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Private Christian Schools to sue government over VAT plans

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October 9, 2024
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Private Christian Schools to sue government over VAT plans
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Three private Christian schools and a group of parents are preparing to launch a legal challenge against the government’s plan to impose VAT on school fees.

Emmanuel School in Derby, the Branch Christian School in Yorkshire, and the King’s School in Hampshire, alongside parents, claim that the tax will unlawfully discriminate against faith-based schools and families by making Christian education unaffordable, potentially forcing many schools to close.

In a letter to the government, the claimants argue that the tax breaches human rights laws and fails to meet legal requirements. They claim the imposition of VAT on education — historically exempt from such taxes in the UK — is unprecedented and unjust. According to their legal team, the policy disproportionately affects Christian schools, many of which have smaller budgets and lower fees compared to larger independent institutions.

The schools and parents behind the legal challenge allege that the VAT policy violates anti-discrimination rights enshrined in the European Convention on Human Rights, which is incorporated into UK law via the Human Rights Act 1998.

Caroline Santer, headteacher at the King’s School, called the government’s plan “ill thought out,” stressing that families choosing faith-based education often sacrifice other luxuries, such as holidays and extracurricular activities, to cover fees. Parents like Stephen White argue that the policy leaves them no choice but to homeschool their children, as they are unwilling to send them to secular state schools.

Andrea Williams, chief executive of the Christian Legal Centre, which is supporting the legal action, warned that the VAT charge would make independent faith-based schooling unaffordable for many families and might force smaller faith schools to close.

This legal challenge comes amid broader criticism of the VAT policy from education unions and private school groups, who have urged Chancellor Rachel Reeves to delay the January implementation. Despite these appeals, the government has reaffirmed its commitment to the tax, which it claims will raise £1.5 billion to fund state education and the hiring of 6,500 new teachers.

The Christian schools’ legal challenge underscores the deep concerns over how the VAT on school fees will impact faith-based and smaller independent schools. The Treasury has been approached for comment but has yet to respond.

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