Non-Domestic Rating (Multipliers and Private Schools) Bill: Motion to disagree with Lords Amendment 1B

Parliament voted on 31 March 2025 to reject a Lords amendment to the Non-Domestic Rating (Multipliers and Private Schools) Bill, specifically Amendment 1B, which would have modified how business rates apply to private schools. The motion to disagree with the Lords passed by 296 votes to 170, meaning the government's original approach to taxing private schools through business rates was maintained and the Lords' modification was overturned.

The vote is part of the government's broader effort to remove the business rates charitable relief that private schools have historically enjoyed, ensuring that independent schools pay the same non-domestic rates as other commercial properties. In practical terms, this means private schools will face higher property tax bills, with the government intending the additional revenue to fund state education priorities. The policy affects approximately 2,500 independent schools in England, and supporters argue it levels the playing field between the state and private sectors, while opponents contend it risks increasing fee pressure on families and could destabilise smaller independent schools.

The division followed strict party lines. All 295 Labour and Labour Co-operative MPs who voted did so in favour of rejecting the Lords amendment, while Conservatives (95), Liberal Democrats (61), the Democratic Unionist Party (4), Reform UK (4), the Green Party (3), the Ulster Unionist Party (1) and Traditional Unionist Voice (1) all voted against. There were no notable cross-party rebels. The vote is part of a sequence of ping-pong divisions on the same bill, with the Lords having inserted several amendments that the Commons repeatedly rejected on the same day, reflecting sustained disagreement between the two chambers over this aspect of the legislation.