The Vanishing Independent School Tier
Since January 2025, the UK government’s imposition of 20 % VAT on private school fees—alongside scrapping business rate relief—has triggered a domino effect. One high-profile casualty, Queen Margaret’s School for Girls, announced its closure after 125 years, citing a sharp drop in enrolment following the VAT change. Similar exits have occurred in south London, where schools in Bromley and Kingston have shut their doors.
The Independent Schools Council reported a 1.7 % decline—roughly 10,000 fewer students—as parents pull children due to unaffordable fee hikes (telegraph.co.uk). Financial modelling suggests a taxpayer burden equivalent to an education cost of £92–£93 million in shifting those pupils to the state system (telegraph.co.uk).
Saltus analysis further revealed that even families earning £100k may be left with less disposable income than minimum-wage households when covering VAT‑inflated school fees (thetimes.co.uk).
The Human Cost: Choices Dwindle for Families and Children
This VAT policy is having real-world impact. 85 % of private school parents in an LBC survey report considering withdrawing their children due to the tax rise (lbc.co.uk). With children facing sudden displacement and lacking school places, desperation rises: few families find state school spaces for mid-year transfers. Likewise, Special Educational Needs (SEN) and faith-based schools—many small-scale—are especially vulnerable, facing closures and leaving families with little choice (theguardian.com).
On Reddit, teachers describe how many small independent schools are unable to maintain staff or admit new siblings, forcing families either into state schooling or hastily formed homeschooling setups. As one teacher put it:
“We won’t see the full effects for a few years … The danger is … schools folding and dumping hundreds of kids in one local area into the system in one go.” (reddit.com)
Cambridge Home School Online: A Smarter Alternative
Cambridge Home School Online (CHSO) offers an innovative, sustainable solution. Our online independent school model delivers outstanding academic standards without the VAT‑driven premium:
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Senior School: £10,450/year
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Prep School: £5,850/year
These are annual, not per term, meaning CHSO costs just a fraction—around one-third—of many traditional private schools, where £5,850–£13,000 per term is standard (independent.co.uk).
Why CHSO Stands Out
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Cost Predictability & Transparency
No hidden VAT. What you see is what you pay—no sudden 20 % surcharge mid-year. -
Maintained Quality
We employ qualified, Cambridge-accredited teachers, small virtual classes, and personalised support—maintaining the educational gold standard, sans hefty overheads. -
Flexibility & Accessibility
Ideal for families in rural areas, expatriates, or those seeking continuity amid school closures. Our model also suits families opting out of disrupted homeschooling. -
Broad Curriculum & Extra-Curricular Access
Offering GCSEs, A‑levels, arts, STEM, and global extracurricular partnerships, CHSO rivals traditional school options—without the physical infrastructure cost.
Dr Troy Page Speaks Out:
“Cambridge Home School Online was founded on the principle that excellence in education shouldn’t be reserved for those who can pay a tax‑inflated premium. We’re proud to offer a high‑calibre, fully accredited independent school experience at fair, all‑inclusive annual fees.”
A Timely Response to a Looming Crisis
Traditional independent schools are being hollowed out—closures, staff cuts, and loss of niche provision (including SEN support and faith-based education) are unfolding . With fewer options available, families are left scrambling. CHSO offers not just survival—but a flourishing educational pathway—with clear pricing and no compromise on quality.
The current VAT policy has accelerated a worrisome shrinkage in private schooling provision—undermining parental choice, destabilising small school ecosystems, and impacting specialised education streams. As one teacher on Reddit observed, “the danger is … schools folding and dumping … hundreds of kids”—a future CHSO aims to prevent.
Cambridge Home School Online delivers a forward‑thinking alternative: full‑rigour independent education, empathic support, and transparent fees well below the taxed norm. In an era where traditional paths are narrowing, CHSO opens a door to quality, consistency, and peace of mind—without the 20 % VAT penalty.
To learn more about our curriculum, admissions, or to book a headteacher meeting, please contact our office. We believe every child deserves access to exceptional education, regardless of policy headwinds.