A coalition representing 1,400 private schools is moving forward with plans to legally challenge the government’s decision to impose VAT beginning in January, as reported by the BBC. During a board meeting on Thursday, the Independent Schools Council (ISC), which encompasses most independent schools in the UK, voted to initiate legal proceedings.

Leading this challenge is Lord David Pannick KC, a prominent barrister known for handling government-related cases. The legal action will be taken on behalf of parents, particularly those with children who have special educational needs and disabilities (SEND). A spokesperson from the Treasury declined to comment on impending litigation.

Chancellor Rachel Reeves announced in the autumn Budget that private schools would lose their VAT exemption. The Chancellor stated that the revenue generated would be utilized to enhance support and teaching quality within the state sector. The government anticipates raising an additional £460 million for state schools next year, with projections increasing to £1.7 billion by 2029/30.

The ISC aims to secure a judicial review concerning this policy, claiming it breaches the European Convention on Human Rights. The focus will be on Article 14, concerning discrimination prohibitions, and the first protocol of Article 2, which guarantees the right to education.

In an email sent out to its members on Thursday afternoon, the ISC outlined its intention to pursue legal action. Parents involved in the lawsuit argue that they lack adequate alternatives within the state education system and include families with children who have special needs. Chief Executive Julie Robinson emphasized their commitment to defending families who have opted for independent education but may face challenges due to VAT being applied to their fees.

Rebecca Frost, a nurse and mother of three children attending private school in Somerset, expressed her support for this initiative. All her children have special educational needs and she is currently applying for an education, health and care plan (EHCP). With the implementation of VAT changes, she anticipates an additional cost of £9,000 annually. Frost remarked that state education had failed to meet her children’s needs despite exploring various options.

A recent impact assessment from the government indicated that only children with local authority EHCPs naming a private school will be exempt from VAT under this policy. The assessment noted that excluding all children with SEND from this rule would incur substantial costs and hinder efforts to improve education for most schoolchildren in the UK who attend state schools.

Additionally, while there are plans to increase grants for military families' boarding school fees due to rising costs, small faith schools will not be exempt from VAT as they are deemed less affected if they also receive income from donations or religious organizations. Aliya Azam from the Al Khoei Foundation, representing two Muslim faith schools in London, stated that parents face difficult choices between adhering to their faith and financial stability. She emphasized support for protecting faith-based education from financial burdens.