VAT on UK international schools could force hundreds of students to leave | private school

European diplomats said imposing VAT on Britain's international schools could force hundreds of students to leave their schools, and called on institutions to retain the 20% duty exemption that private schools are expected to lose.

The German and French ambassadors to the UK, Miguel Berger and Hlne Duchne, said international schools were different from British private schools. This is because the option of transferring to the UK state sector is not always realistic for students.

For foreigners who come here for two, three or four years in hopes of having their children return to the national system, the only option is to go to these schools, Berger said.

He told the Times: We would really like to see the UK government recognize the importance of these schools, not only for our political and cultural relationships, but also for the people this will affect.

The government plans to fund 6,500 new teachers in public schools by abolishing value-added tax exemptions and business tax breaks for private schools from January. Currently, independent schools do not have to charge 20% VAT on tuition fees because there is an exemption for educational supplies.

Berger said executives at companies investing in the UK needed to know they could send their children to German schools. He said Deutsche School London, based in Richmond, south-west of the capital, has around 900 students and 20 to 25 per cent would have to leave the school if changes were introduced.

He added: There is a lot of state funding going into schools, as the German government covers 30% of school costs and 50% of investments.

Critics of the VAT changes have expressed concerns about the short duration and the risk of unintended consequences, such as the potential impact on children with learning disabilities and military families attending specialist independent schools.

Eleven schools in the UK are accredited by the French Ministry of Education, nine of which are in London. Duchne said these schools would be weakened by the VAT changes.

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She said: We are not asking for exemption. We are not subject to this VAT measure. Our school is different from your target school because we follow a special course to prepare you for the French exam. These parents have no plan B because other schools do not follow the French curriculum.

She said as many as 6,300 students in England could be affected, adding that the change was inconsistent with the reset of bilateral relations led by the British government. She said imposing VAT on schools could also be problematic for our company. Because we need these schools for the employees who come to work here.

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