Private school fees in the United Kingdom are set to rise by an average of 4.5 percent this September as independent institutions contend with multiple tax increases and rising operational costs. This follows a sharp 17 percent increase last year after the government removed the 20 percent VAT exemption on independent school fees.
The price hike reflects the combined impact of three significant tax-related challenges: the introduction of VAT on school fees, the removal of business rates relief for charitable schools, and increased employer National Insurance contributions. These changes have converged with broader inflationary pressures and a decline in student enrollment, creating a challenging financial environment for many private schools.
Julie Robinson, chief executive of the Independent Schools Council (ISC), highlighted the financial difficulties faced by these schools but noted ongoing efforts to mitigate the impact on families. She stated that about one in three children attending an ISC member school receives some form of fee assistance. Nonetheless, Robinson characterized the situation as “incredibly difficult financial headwinds,” emphasizing the so-called “triple whammy” of tax measures affecting the sector.
Current data covering 424 schools indicates that the average fee for Year 13 students will increase from £26,550 to £27,734 for the 2026-27 academic year. Boarding fees for sixth-formers are set to rise by about 6 percent, bringing average boarding costs to nearly £49,000 annually—up from £37,251 in 2022-23. Some schools have implemented fee increases as steep as 12 percent, although these have sometimes been phased over multiple years.
Some of the most expensive boarding schools include Cardiff Sixth Form College, which charges £77,250, followed by Westminster School at £69,282—significantly higher than four years ago when fees were £45,432. Other well-known institutions, including Eton College, Gordonstoun School, Dulwich College, and Radley College, now charge more than £50,000 per year for boarding, a threshold no school reached as recently as 2022.
In response to rising costs, some schools have introduced new pricing structures. For example, Bradfield College, Cranleigh School, and Sherborne have created distinctions between “day boarders,” who access dormitories on an occasional basis, and traditional day pupils to offer more affordable options for families.
The sector is experiencing notable declines in enrollment. Recent figures show that 43,000 pupils have left independent schools since Labour came into power, significantly surpassing earlier government estimates of a 14,000 reduction. Most of this decline has occurred in lower-cost independent schools and among younger students. Over the past two years, 87 private schools have shut their doors, including long-established institutions such as St Lawrence College in Kent and Ruthin School in North Wales.
Labour had anticipated that revenues from VAT on school fees would fund the recruitment of 6,500 additional expert teachers in state education; however, official data released in June shows a net reduction of 4,754 teachers in nursery, primary, and secondary state schools since Labour assumed office.
A Department for Education spokesperson stated that fee adjustments reflect multiple cost pressures and reaffirmed the government’s position that ending tax breaks for private schools is expected to generate over £1.8 billion annually by 2029-30. These funds aim to support public education and services benefiting the 94 percent of children attending state schools.