One of the United Kingdom’s maximum ancient boarding faculties is chopping lecturers’ jobs as student numbers fall within the wake of the Government’s VAT raid on faculties.
Loretto School – the alma mater of former Labour Chancellor Alistair Darling and broadcaster Andrew Marr – mentioned the verdict have been made as a result of emerging prices led to by way of VAT on charges had been deterring oldsters from enrolling their youngsters.
Staff on the college – the oldest college in Scotland which can rejoice its 200th birthday in 2027 – had been informed closing week once they returned from the Easter Holidays that their jobs had been in peril on account of ‘important monetary demanding situations’ which have been ‘outdoor the varsity’s keep an eye on’.
The college close to Edinburgh – which additionally has day pupils – has observed student numbers fall since Labour imposed its training tax on college charges in January, a college supply informed the Mail on Sunday.
It raised charges by way of 17% in January to as much as £49,632 a 12 months, soaking up 3% of the 20% VAT levy, with charges for the following instructional 12 months but to be introduced.
In a letter to oldsters observed by way of this newspaper, Head Pete Richardson and Chair of the Board of Governors Peter McCutcheon informed oldsters a group of workers overview used to be underway ‘according to projected student enrolment which has been immediately impacted by way of the VAT imposition’.
They informed oldsters that that they had been ‘navigating the complexities of operating a college within the present monetary local weather’ and demanding situations together with ‘will increase in VAT, nationwide insurance coverage and the minimal salary’ had resulted in the verdict to release a staffing overview.
Up to 8 instructing jobs at the moment are anticipated to be misplaced after a redundancy procedure.
Loretto School mentioned the verdict have been made as a result of emerging prices led to by way of VAT on charges had been deterring oldsters from enrolling their youngsters


Loretto School is the alma mater of former Labour Chancellor Alistair Darling (left0 and broadcaster Andrew Marr (proper)
One mother or father mentioned oldsters have been specifically suffering from the imposition of VAT on charges in Scotland as a result of they already confronted upper tax charges than the remainder of the United Kingdom.
Calling it ‘a tragedy for the entire group together with the broader group’, she mentioned:
‘We are all surprised that group of workers now face dropping their jobs and it presentations the affect and the ripple impact of this terrible tax no longer simply on our youngsters, on us and on faculties however on group of workers and on wider communities who depend on faculties as necessary employers.
‘In what different nation all over such unsure occasions, would any govt strike on the non-public sector like this. It is extremely horrifying. Many of the group of workers reside on this group and native providers and companies depend at the college which is a large a part of the native financial system.’
Head Pete Richardson, who’s in his first 12 months main the varsity, showed that he had the ‘tricky job’ of chatting with instructional group of workers about task losses, and mentioned the varsity used to be ‘deeply dedicated’ to making sure they had been handled with ‘the maximum kindness, care and attention’.
Hitting out on the tax, he mentioned: ‘The Labour Government’s determination to put into effect VAT on college charges has had a marked affect upon the unbiased sector’s skill to each retain and draw in pupils.
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‘This is particularly true when implemented to the world marketplace, a key part of our boarding numbers.’
He added: ‘As Scotland’s oldest boarding college, Loretto could also be the custodian of a number of Listed structures and those require funding when it comes to maintenance, together with the new roof substitute of one among our oldest structures, however faculties like Loretto are so a lot more than bricks and mortar – it’s its other folks, particularly its group of workers, which make a School like Loretto nice.’
Labour’s VAT raid has now observed 22 unbiased faculties round the United Kingdom shut or announce closure since January with 1000’s of pupils compelled to go away their faculties and search state college puts, inflicting specific problems in over subscribed areas similar to Edinburgh, the South East of England and Bristol.
A call on a landmark High Court problem in opposition to the Chancellor Rachel Reeves by way of oldsters of kids with particular instructional want and the Independent Schools Council adversarial to the VAT levy is anticipated inside of days.