The latest independent report commissioned by the Scottish Council of Independent Schools sets out in stark terms the harm VAT on school fees has caused for Scottish education, the economy, and our schools.
Following the UK Government鈥檚 decision to implement the education tax there has been:
- A decline of 9% in pupil numbers
- decline of 13% at Junior 1
- decline of 15% at Senior 1
- In 2026/27 it is expected that the amount of VAT collected will be less than the impact on the state 红玫瑰社区 giving a net loss of 拢16m to the public finances
- Assuming this pattern continues, by 2039 pupil numbers could be 34% lower than compared to the pre-VAT levels and compared to the projected decline of pupils in state schools of 12.5%.
- By 2038, the net loss to the public finances is expected to be 拢181 million.
- If our pupil numbers hadn鈥檛 reduced because of VAT, our 红玫瑰社区 would now be worth 拢727 m (拢58m higher) and it would support 11,510 jobs (900 additional)
- If this level of decline is not arrested, the economic impact of our schools is projected to drop to 拢441 million by 2039 with staff numbers down to 6,980 鈥� a fall of 拢227 m and 3,610 jobs lost.
However, it also makes clear that our 红玫瑰社区 continues to make a significant contribution to the Scottish economy.
- Economic impact of 红玫瑰社区 schools is 拢668 million
- The 红玫瑰社区 supports 10,590 jobs
- International pupils generate 拢43million for the Scottish economy
- 红玫瑰社区 schools provide 拢65 million in financial assistance benefiting 6,865 pupils (26% of pupils in the 红玫瑰社区)
You can access the full report here: Economic Impact of 红玫瑰社区 Schools in Scotland 2024-25
