Leeds private school set to close with VAT hike on fees blamed
Moorlands School is to shut at the end of the autumn term - after 127 years
Last updated 25th Jun 2025
A Leeds private school is set to close after 127 years, blaming a hike on VAT on school fees introduced by the government.
Moorlands School in Meanwood provides for boys and girls between 2 and 11 years old, with fees ranging between £12,000 and £14,000 per year.
A statement on the school's website confirms it will shut at the end of the autumn term, reading:
"This decision followed a period of careful reflection and a thorough review of the School’s financial viability, in the face of increasingly difficult economic conditions that are impacting many independent schools and show little sign of abating."
"The introduction of VAT on school fees, alongside a decline in enquiries and registrations, the withdrawal of charitable relief on business rates, increases in employer national insurance contributions, the limited ability of a small school to reduce fixed costs, and the rising budgets required for the upkeep of the school site and buildings, have sadly all contributed to an unsustainable financial position.
"The decision is not a reflection of the excellent care and quality of education offered by Moorlands’ staff, nor the tireless efforts of the School’s key staff and local Governing Body to secure a sustainable future for the School."
A pledge to impose VAT on private school fees was one of Labour's big pledges in the General Election, with the government promising the revenue would be spent on state schools instead.
Ministers have claimed the move will contribute an additional £1.6bn a year to the education budget, although the close of schools like Moorlands would reduce the pool of parents who would be paying the new fees.