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Labour's Private School VAT Plan Fuels SEND Funding Crisis

The introduction of a 20% VAT on private school fees is prompting a surge in public funding requests for children with special educational needs and disabilities.

  • Local councils are experiencing increased applications for Education Health and Care Plans (EHCPs) as parents of SEND children leave private schools due to rising costs.
  • A National Audit Office report highlights the financial unsustainability of the current SEND system, with many councils at risk of bankruptcy by 2026.
  • Education Secretary Bridget Phillipson acknowledges systemic failure and promises reforms focusing on mainstream provision and early intervention, though specifics remain undefined.
  • Critics argue that Labour's VAT policy exacerbates existing pressures on the SEND system, potentially leading to increased demand on public education resources.
  • The Department for Education estimates significant local authority deficits, with a cumulative shortfall potentially reaching £4.9 billion by March 2026.
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