With the sector facing increasing financial pressure some schools are considering establishing a foundation to manage risk, and to protect schools from financial issues and even potential closure. But what are the uses of a foundation, the issues to consider when setting one up, and the process to do so? Solicitor, Joanna Blackman, provides some advice.
Independent schools have weathered a number of storms in recent years. First came the pandemic, forcing schools to invest in new technologies while placing pressure on fee structures and the movement of students. Today, the sector is under greater financial pressure and political scrutiny than ever before, with a new Labour government introducing VAT on private school fees, eliminating business rates relief from April 2025, and increasing employer NI contributions. In response, some schools are considering establishing a foundation to manage risk, diversify income streams, and promote collaboration…