Labour said it no longer has to stop private schools from being charities to charge VAT on fees and make them start paying business rates.
Labour plans to charge VAT on private school fees but won't scrap their charitable status if it wins the general election.
Keeping charitable status means the schools will still have some perks. They will still be able to claim gift aid on donations and not pay tax on annual profits, which must be reinvested in education. Labour leader Keir Starmer said he does not believe the schools are an obstacle to opportunity, but he wants to ensure state schools are “just as good”.
“The school doesn’t have to pass this on to the parents in fees. And each of the schools is going to have to ask themselves whether that’s what they want to do,” he said.
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