Eton College to Raise Fees by 20% as Private Schools Grapple with VAT

Eton College, the renowned British educational institution, has announced a significant 20% increase in fees starting January 2025, attributing the rise to the government's decision to apply Value Added Tax (VAT) to private education. This move has sparked discussions about affordability and the future of private schooling in the UK.

Founded in 1440 by King Henry VI, Eton has a rich history of educating Britain's elite, including 20 Prime Ministers. The school, known for its distinctive black tailcoats and striped trousers, will see its annual fees rise from £52,749 to approximately £63,000 for most students.

In a communication to parents, the school expressed regret over the government's decision to "tax education in this way." Lord Waldegrave, the outgoing provost, highlighted the challenges this change poses, particularly its mid-academic year implementation.

"We understand that parents will have different financial circumstances and that a change of this magnitude, and within this timeframe, will pose challenges to some who may not currently be in receipt of financial aid."

Eton, which boasts a library of 200,000 rare books and its own natural history museum, has pledged to consider increasing its £10 million financial assistance fund to support families facing difficulties due to the fee hike. Students on full bursaries will not be affected, while those on partial bursaries will receive increased discounts to cover the VAT cost.

Other prestigious private schools are also adjusting their fee structures in response to the VAT introduction. St Paul's School in London announced a 9% increase, while University College School warned of potential fee rises. The Girls' Day School Trust, overseeing 23 top schools, plans a 12% fee increase from January 2025.

These changes come as private schools grapple with the government's July 2024 announcement about VAT plans, leaving institutions and parents with limited time to adapt. The timing, just before the start of the new academic year in September 2024, has been particularly challenging.

Jeremy Quartermain, head teacher of Rossall School in Lancashire, emphasized the diverse backgrounds of their student body, including children of teachers, nurses, and tradespeople. This highlights the broader impact of fee increases on families from various socioeconomic backgrounds.

As private schools navigate these changes, they must balance maintaining educational quality with affordability. Eton, with its unique traditions like the Wall Game and its own publishing house, faces the challenge of preserving its prestigious offerings while addressing the financial concerns of its community.

The introduction of VAT on private education marks a significant shift in the UK's educational landscape. As schools like Eton, which once provided free education to 70 poor boys, adapt to these new financial realities, the coming months will reveal the long-term implications for private education accessibility and quality in the UK.