Budget Resolution No. 34: Value added tax (private school fees)
383Ayes
184Noes
Carried · majority 199 · Government won80 did not vote
647 Members · Aye 383 · No 184 · DNV 80 · grey dots in centre are abstentions
Analysis
Commons
Commons
Parliament voted on 6 November 2024 to approve Budget Resolution No. 34, which removes the VAT exemption that has historically applied to private school fees. The resolution passed by 383 votes to 184, with the government commanding a comfortable majority. The measure means that independent schools in England, Wales, and Scotland will be subject to the standard 20 percent rate of VAT on their fees, a change the government had signalled as a central plank of its first Budget under Chancellor Rachel Reeves. The practical effect of the resolution is to make private school fees substantially more expensive, since schools will either absorb the VAT or pass it on to parents. The government argues this will raise significant revenue to be reinvested in state education, including hiring additional teachers. Critics argue it will push some pupils out of private schools and into an already-stretched state sector, negating the financial benefit and reducing the options available to families who stretch their budgets to pay fees. The vote divided almost entirely along party lines. All 329 Labour MPs and all 35 Labour and Co-operative MPs voted in favour, as did the Scottish National Party, Plaid Cymru, and the Green Party. Every Conservative MP who voted opposed the resolution, as did all voting Liberal Democrats, Reform UK members, and the Democratic Unionist Party. The Liberal Democrats' opposition is notable given that the party had previously indicated some openness to taxing private schools; their decision to vote against placed them alongside the Conservatives on this occasion. The measure forms part of a broader legislative push that has continued into 2025, with related votes on business rates for private schools and on the Children's Wellbeing and Schools Bill following in subsequent months.
Voting Aye meant
Support removing the VAT exemption on private school fees to raise revenue for state schools
Voting No meant
Oppose applying VAT to private school fees, arguing it will harm school choice and push pupils into the state sector
Each row is one party. The stacked bar gives the within-party split of Aye / No / Absent; the columns on the right give the raw counts. The whip column shows the published party position — “Free vote” means the whip was formally removed for this division.
Party
Whip
Aye / No / Abs
Aye
No
Abs
Labour Party
Whipped Aye
328
0
33
Conservative and Unionist Party
Whipped No
0
103
13
Liberal Democrats
Whipped No
0
62
10
Labour and Co-operative Party
Whipped Aye
35
0
7
Independent
—
4
7
3
Scottish National Party
Whipped Aye
9
0
0
Reform UK
Whipped No
0
5
2
Sinn Féin
—
0
0
7
Democratic Unionist Party
Whipped No
0
3
2
Green Party of England and Wales
Whipped Aye
4
0
0
Plaid Cymru
Whipped Aye
4
0
0
Social Democratic and Labour Party
—
1
0
1
Alliance Party of Northern Ireland
—
0
0
1
Restore Britain
—
0
1
0
Speaker
—
0
0
1
Traditional Unionist Voice
—
0
1
0
Ulster Unionist Party
—
0
1
0
Your Party
—
1
0
0
Source · Hansard · UK Parliament Votes API · whip status from announced positions; “free vote” indicates the whip was formally removed
Growth requires public investment in infrastructure, services and regions; Budget sets foundation for long-term prosperity by restoring fiscal stability; inheritance tax changes affect only ~500 farms; OBR cannot model planning reform, industrial strategy, or trade policy benefits.Labour · Voted aye · Read full speech (2,935 words) →
Budget crushes business with £25bn national insurance 'jobs tax' that reduces wages more than revenue raised; inheritance tax and capital gains changes attack family businesses; no evidence Budget will drive growth; Government lacks business experience.Conservative · Voted no · Read full speech (3,345 words) →
NHS investment welcome but social care silence unacceptable; national insurance rise harms small businesses, GPs, hospices and high streets; business rates reforms insufficient; urges exemptions for charities and social care; growth should not rely solely on infrastructure investment.Liberal Democrat · Voted no · Read full speech (1,694 words) →
OBR forecasts show GDP growth will slow and turn negative in years 4-5; Budget will shrink private sector, not grow it; challenges Government's claim growth is central mission.Conservative · Voted no · Read full speech (97 words) →
Private sector, not public investment, drives growth; Budget fails to help businesses; national insurance rise nets only £16bn after lost investment, with 75% burden falling on workers' wages.Conservative · Voted no · Read full speech (1,600 words) →
Last 14 years left public services fragile; Budget offers hope with NHS funding, affordable housing, homelessness support; temporary accommodation crisis affecting children requires urgent further action.Labour · Voted aye · Read full speech (912 words) →
Labour broke election promises on taxes, borrowing and inheritance tax; Budget leans into broken economic model with more borrowing and tax-spend rather than fixing structural problems (planning, migration, capital markets); A303 transport cuts regretted.Conservative · Voted no · Read full speech (2,223 words) →
Many good things in Budget but inheritance tax threatens family farms; threshold should be raised to £4-5m to protect farmers; every farmer in Northern Ireland will be affected.DUP · Voted no · Read full speech (173 words) →
Sources
Division dataUK Parliament Votes API
DebateHansard · Commons
Stance analysisAI analysis · Claude 4.x
LicenceOpen Parliament Licence v3.0