Adding VAT to private school fees discriminates against parents of Strictly Orthodox children who say access to an independent school which follows their particular faith is “essential”, the High Court has been told.
Legal action has begun against the government’s policy by parents from a variety of backgrounds claiming that VAT on school fees is a breach of human rights law and discriminatory on grounds including religion, nationality, disability and mental health.
Two parents of Strictly Orthodox Jewish children are part of the legal challenge which began in the High Court on Monday.
In a statement released by Chinuch UK, a mother involved with the legal case, said tax hikes were “ a direct threat to families like mine”.
“These measures jeopardise the very foundation of our lives: my livelihood, my children’s education, rooted in our faith, and the stability we have worked so hard to maintain. Losing access to schools that align with our religious beliefs leaves us feeling powerless.”
She said she was “begging for these measures to be scrapped… Without intervention, we will lose everything we have built for our children’s future.”
Two of those bringing the claim have children with special educational needs, and say there is “no alternative state school provision in the area that can meet their needs”.
Ahead of the High Court hearing a Treasury spokesperson said:“We want to ensure all children have the best chance in life to succeed.
“Ending tax breaks on private schools will help to raise the revenue needed to break down the barriers of opportunity for children and young people across the country.”
The Treasury also argue the policy would not have “a significant impact on the number of pupils attending private schools overall.”
Education Secretary Bridget Phillipson has aimed to raise £1.5 billion from the tax on private education, with the money used to pay for extra teachers in state schools.
Also amongst those bringing the case are Muslim family who say they moved to the UK “specifically to access an Islamic education” for their daughter. The parents, a taxi driver and cleaner, say the affordability of the girl’s faith school is a key factor in being able to send her there.
SPeaking outside the hearing Stephen White, whose children attend Bradford Christian school, a private faith school in West Yorkshire, claimed: “We all make a sacrifice to send them there, and it’s wrong, because we’re actually saving the state a load of money.”
The government is fighting the judicial review claims, which have been fast-tracked to give parents certainty ahead of the new school year starting in September.
In opening arguments for the families, Lord Pannick KC said the parents of one autistic child with communication and sensory processing difficulties had moved their child to an independent school after the child was unable to cope with the noise and size of a state primary school.
The parents paid private school fees using a disability living allowance. But the 20% increase in fees from adding VAT meant the child “will be forced to leave the school and return to a state primary school of the sort which was unable to meet his educational needs”, Pannick told the court.
James Eadie KC, representing the Treasury, HMRC and the Department for Education, said local authorities paid the fees of pupils with assessed special needs who had a private school placement as part of an education health and care plan (EHCP) agreed between councils and parents.
More than 1 million children with special needs but without an EHCP go to mainstream state schools in England.
The VAT policy will also apply to private schools in Wales, Scotland and Northern Ireland, which have differing forms of provision.
The hearing before Dame Victoria Sharp, Lord Justice Newey and Mr Justice Chamberlain concludes on Thursday, with a decision expected some time after.
