Andrew Needham looks at the introduction of standard-rated VAT on private school fees.
Prior to the 2024 general election, the incoming Labour government had announced its intentions to introduce VAT on private education. An announcement to this effect was subsequently made to Parliament by the Chancellor on 29 July 2024 and the publication of Revenue and Customs Brief 8 (2024).
When does it apply?
The implementation date for the introduction of VAT on private education will be 1 January 2025 and will affect all education services and vocational training supplied by a private school, or a connected person, for a charge which will be subject to VAT at the standard rate of 20%. Boarding services provided by a private school, or a connected person, will also be subject to VAT at 20%.
It was also announced that fees invoiced or paid on or after 29 July 2024 that
