Removal of relief for private schools in England

5Removal of relief

(1)The Local Government Finance Act 1988 is amended as follows.

(2)In Schedule 4ZA (occupied hereditaments: chargeable amount), in paragraph 2 (charitable rate relief), after sub-paragraph (2) insert—

“(3)But this paragraph does not apply where the hereditament is situated in England and, on the day concerned, the hereditament is wholly or mainly used for the purposes of carrying on a private school.

(4)A “private school” means an institution which is either—

(a)a school—

(i)at which full-time education is provided for pupils of compulsory school age (whether or not such education is also provided for pupils under or over that age),

(ii)where fees or other consideration are payable for that provision of full-time education, and

(iii)which is not a nursery school, or

(b)an institution—

(i)which is wholly or mainly concerned with providing education suitable to the requirements of persons over compulsory school age but under 19,

(ii)at which full-time education is provided for such persons,

(iii)where the provision of full-time education falling within sub-paragraph (ii) is wholly or mainly provision in respect of which fees or other consideration are payable, and

(iv)which is not an independent training or learning provider.

(5)But an institution is not a private school if it is wholly or mainly concerned with providing full-time education to persons for whom an EHC plan is maintained.

(6)In sub-paragraph (4)(b)(iv) an “independent training or learning provider” means an institution—

(a)at which education or training is provided for persons over compulsory school age but under 19 under a contract with the Secretary of State, and

(b)where the consideration for the provision falling within paragraph (a) is payable by the Secretary of State under that contract.

(7)For the purposes of sub-paragraphs (4) to (6), “compulsory school age”, “EHC plan”, “nursery school”, “pupil” and “school” have the same meanings as in the Education Act 1996.”

(3)In Schedule 4ZB (unoccupied hereditaments: chargeable amount), in paragraph 2 (charitable rate relief), after sub-paragraph (2) insert—

“(2A)But sub-paragraph (2) does not apply if it appears that when next in use the hereditament will be wholly or mainly used for the purposes of carrying on a private school.

(2B)A “private school” means the same as in paragraph 2 of Schedule 4ZA.”