Labour’s tax raid on private school fees could raise ‘very little’

7th JUNE 2023

Labour’s plan to add VAT to private school fees is badly flawed and could raise very little revenue, according to a think tank. The party has said ending the tax breaks enjoyed by independent schools would raise £1.6 billion, which it would invest in the state sector. However, a new analysis suggests that the figure is likely to be much lower and that in a “best case” scenario for Labour, the changes would bring in £1 billion. In a “worst case” scenario, there would be “very little” new revenue.

Read the article here (£).