Independent School Fees After VAT: What Parents Need to Know

Since January 2025, independent school fees in the UK are subject to VAT at 20%. This is one of the biggest changes to the private education landscape in decades, and it affects every family paying school fees.

What changed

Before January 2025, education was VAT-exempt. Now, independent schools must charge VAT on tuition fees. A school charging £15,000 per year now costs £18,000 — an extra £3,000 annually, or £250 per month.

Over a full 7-year secondary education, that's an additional £21,000 per child.

How schools are responding

Schools are taking different approaches:

• Full pass-through — fees increase by 20%. Most common among schools with high demand.
• Partial absorption — schools absorb some VAT by cutting costs. Fees rise 10-15%.
• Bursary expansion — some schools are increasing means-tested bursaries to offset the impact for middle-income families.

What parents should do

1. Check your school's published fees — they should now include VAT. If they don't, ask.
2. Factor in the full cost — tuition is just the start. Lunches, uniforms, trips, and extras add 10-20% on top.
3. Compare across schools — use the School Atlas Fee Comparison tool to see how schools in your area compare.
4. Project forward — fees typically rise 3-5% per year on top of inflation. Our Fee Projections tool models the total cost over your child's schooling.
5. Ask about bursaries — many families who wouldn't have qualified before may now be eligible for means-tested support.

Is it still worth it?

That depends entirely on your circumstances and priorities. Some families are reconsidering and looking at high-performing state schools instead. Others are committed but need to plan more carefully.

Either way, the data helps. Search schools near you and compare state and independent options side by side — results, facilities, class sizes, and fees all in one place.

Further reading

• Compare independent school fees in your area
• Project total costs over your child's schooling
• Nursery cost calculator with government funding