No obvious impact' on state schools after VAT added on to private fees, councils say

Predictions that adding VAT to private school fees would set off a wave of parents moving children to the state sector have initially been proved wrong, according to figures from councils in England.

- Richard Adams

While critics including the former chancellor Jeremy Hunt predicted that up to 90,000 children could flood the state sector if VAT of 20% was charged, most councils say they have seen no impact from the policy in applications to start at state secondary schools later this year.

Forecasts of a widespread shortage of school places have also fallen flat based on application figures for places in year 7, the first year of secondary school, that show more families receiving their first choices.

A government source said: "Despite all the doom-mongering and ululating from the private schools lobby, as well as their Conservative and Reform lackeys, there hasn't been a massive exodus from private schools.

"This government will deliver for working families who want a brilliant state education for their children."

Experts had identified the transition from primary to secondary school as the most likely time for parents to opt for state education after an increase in school fees with the VAT addition. Any significant shift in numbers would mean fewer families getting their first choice of places at state schools, and erode the government's expected £1.5bn income from the tax.