Non-Domestic Rating (Multipliers and Private Schools) Bill: Reasoned Amendment to Second Reading

Parliament voted on 25 November 2024 on a reasoned amendment (a formal motion to reject a bill's principles before it advances) to the Non-Domestic Rating (Multipliers and Private Schools) Bill at its Second Reading. The amendment, put forward by the Conservatives, argued against the bill's proposal to remove business rates relief from private schools. The amendment was defeated by 335 votes to 173, allowing the bill to proceed to its next parliamentary stage.

The bill would end the business rates relief that independent schools in England currently receive as charitable organisations, effectively increasing their tax burden. In practical terms, private schools would face higher operating costs as a result, which supporters of the change argue makes the tax system fairer and which critics argue could lead to fee increases and some pupils moving into the state sector. The revenues raised are intended, according to the government, to fund improvements in state education, including hiring additional teachers.

The vote divided almost entirely along party lines. All 292 Labour MPs and 35 Labour and Co-operative MPs who voted opposed the amendment, while all 98 Conservative MPs who voted supported it. The Liberal Democrats, with 61 voting in favour of the amendment, joined the Conservatives in opposing the bill's principle, as did Reform UK (4 votes) and the Democratic Unionist Party (2 votes). The Greens voted with the government against the amendment. The result was never in serious doubt given Labour's Commons majority, and subsequent votes at Report Stage in January 2025 produced similar margins, confirming the government's sustained position.