Private School Blames Labour VAT Policy as It Announces Closure
Private School Blames Labour VAT Policy as It Announces Closure

Immanuel College Prep School, a private Jewish school in Hertfordshire, has announced plans to close at the end of the academic year, citing 'unprecedented financial pressures' and blaming the Labour government's tax policies.

The £13,632-a-year primary school has entered a consultation on its closure, with pupils in Years One to Five offered alternative places at Kerem School in Hampstead Garden Suburb, a 30-minute drive away. Children in Year Six will complete their final year at the group's senior school.

In a joint statement, Immanuel College Prep School and Kerem School said the decision comes 'in response to the growing financial pressures being felt by independent schools and parents alike'. They specifically pointed to the introduction of 20 per cent VAT on school fees from January 1, 2025, along with increases in National Insurance, teachers' pension scheme costs, and the removal of business rates relief.

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Daniel Levy, chairman of governors at Immanuel College, said: 'The past five years, starting with Covid, through the period of high inflation and now with the addition of VAT to school fees, has created unprecedented financial pressures across our sector.' He added that the collaboration with Kerem School aims to ensure children can continue receiving an outstanding primary education.

The closure consultation is expected to reveal its findings in early 2025. The announcement is the latest in a series of warnings from private schools across the UK about the impact of the government's VAT policy, which many argue has been rushed through without adequate preparation time.

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