Independent school 'facing closure' over VAT plan

Carrdus School has informed parents that financial pressure means it is at risk of closing in the spring

A mother whose child is enrolled at an independent school facing closure has said she might have to leave her job .

Carrdus school near Banbury, Oxfordshire, for children aged 3-11, informed parents last week that financial pressure meant it was at risk of closing in the spring.

It comes after the announcement that VAT will be added to private school fees.

HM Treasury said the decision "will help to raise the revenue needed to break down the barriers of opportunity".

Claire, whose daughter studies at Carrdus, said she had received the news "out of the blue" last Thursday evening.

“If I don’t have a school place for my daughter in the state system… it is possible I might have to leave my job because I cannot be in a situation where I work long hours full time and my daughter doesn’t have a place at school.”

In October, Chancellor Rachel Reeves confirmed the VAT exemption for private schools will end from 2025.

As a result, Julie Lodrick, headmistress of Tudor Hall School, which owns Carrdus school, said its future was currently under review.

She also cited the government's decision to "remove charitable business rates relief [for independent schools] and increase employers’ national insurance contributions".

She said these factors had "put both huge pressure on the school’s finances and on our families", with a number of parents giving notice to withdraw their child from the school.

"...the governors have concluded, with profound regret, that if a purchaser of the school is not found, Carrdus School is likely to close at the end of the spring term 2025," she added.

Danielle, whose daughter attends Carrdus, was also a student there herself

Danielle, whose daughter also attends the school, was a student there herself.

She said “to hear the news that it was closing in April… to not even have the end of the school year, just rubs salt in the wound”.

"To say we are shocked is an understatement," she said.

Conservative Eddie Reeves said nationally the state system had seen "over 3,000 children apply for school places this term, with a further 2,500 expected in January" from private schools.

"We are therefore well on our way to skyrocketing costs to the public purse."

He encouraged parents to apply to make an emergency application to Oxfordshire County Council, West Northamptonshire Council and Warwickshire County Council if they needed a state school place.

An HM Treasury spokesperson said they wanted to "ensure all children have the best chance in life to succeed".

"Ending tax breaks on private schools will help to raise the revenue needed to break down the barriers of opportunity for children and young people across the country”.