There’s a lot of absolute bollocks being spoken about the economics of this VAT on school fees by people who are obviously not used to dealing with accounting and finance. For a start, if schools are VAT rateable then they can also reclaim VAT on their spend. It’s estimated that this offsets about 8% out of the 20%, so even if you just treat it as a straightforward need to fund the additional costs, fees should go up by 12% not 20%. By comparison, private schools have already put their fees up by way more than 12% over recent years. Second, you might have to fund additional state school places if some parents can’t afford that 12%, but even in conservative estimates, the additional tax revenue is many many times greater than the cost of those marginal places, particularly since birth rates are so low, meaning that schools will start to gain capacity. I’ve seen other fallacies trumpeted too but I CBA, because those two things alone are quite enough.