Surrey is running out of state school places for private pupils as VAT is rolled out
Surrey County Council has admitted it does not have enough school places to accommodate children attending private schools, following the government’s introduction of a 20 per cent VAT on private education.
Forecasts obtained through a Freedom of Information request show that by September 2025, there are expected to be no vacancies for Year 9, 10, or 11 students, with only limited vacancies in the younger groups. The shortfall comes despite estimates that around 2,400 children in Surrey will be forced out of fee-paying schools due to the VAT, which will come into force next month.
Surrey’s predicament highlights regional disparities in how tax reform can affect school capacity. Although the government says there is enough space in the national public school system, it has not accounted for the equal distribution of private school enrollments. In Surrey, almost one in five students attend private institutions—well above the national average of 6 percent.
A concerned father, who asked not to be named, told The Telegraph: “No council is equipped to go into middle school without skills planning. About 20 percent of Surrey’s students go to private schools and the state system is full.
Local authorities are obliged by law to provide a school place for every child in their area, but if nearby public schools do not have places available, children can be assigned to schools further afield, where councils have the power to pay for free transport or even taxis.
The new VAT is predicted by the government to force around 35,000 students – 6 percent of those in private schools – into the public sector across the country. However, this one-size-fits-all equation belies significant geographic variation. Surrey, which has more than 40,000 privately educated students, is experiencing a severe demand for public school places.
Clare Curran, a member of the Surrey County Council’s cabinet, accepted the challenge but insisted that the council would monitor the situation and consider expanding some public schools if necessary. He also mentioned that some schools have not filled all the places where they could teach.
Meanwhile, a parliamentary petition calling for the government to reverse the VAT decision on private schools has reached more than 100,000 signatures in a week, reflecting widespread concern about the policy’s unintended consequences.
A government spokesman defended the policy, saying: “Ending tax breaks for private schools will raise £1.8bn a year by 2029-30 to help fund public services. Local authorities are responsible for securing enough school places, and we hope the public sector can accommodate any additional pupils.”
However, families and teachers are concerned that a sudden influx of private school students into an already strained system could intensify competition for places, put pressure on children to continue their studies, and impose huge costs on councils.