In a significant legal setback, a group of private schools, students, and their parents have lost their High Court challenges against the government’s imposition of Value Added Tax (VAT) on school fees. The ruling effectively ends their legal battle against the Treasury, which argued the policy is neither discriminatory nor violates human rights.

The legal action involved several schools, encompassing faith-based institutions and those catering to students with special educational needs (SEN). Families affected argued that applying VAT to school fees created an unfair burden and was incompatible with human rights legislation. Their case was comprehensively contested by the Treasury, with support from HM Revenue and Customs (HMRC) and the Department for Education (DfE).

The introduction of VAT on private school fees on January 1st sparked significant controversy. This High Court decision now leaves these schools and families with limited recourse, confirming the government’s position on the matter.