In response to recent changes in VAT policy affecting private school fees, the Ministry of Defence has confirmed adjustments to the Continuity of Education Allowance (CEA) to support military families.

James Cartlidge, MP for South Suffolk, raised the issue in Parliament, asking what measures the Ministry would take to assist families receiving the CEA with the additional VAT costs.

Al Carns, Parliamentary Under-Secretary at the Ministry of Defence and Minister for Veterans, highlighted the government’s commitment to supporting service members and their families, stating, “The Continuity of Education (CEA) scheme recognises the enormous sacrifices our military families make and aims to minimise the disruption to their children’s education caused by Service commitments involving frequent moves of the family home.”

He acknowledged that while the new VAT policy does not provide exemptions, the government will closely monitor its impact on military families and consider any adjustments during the next Spending Review.

To address the increased costs, Carns explained that “the Secretary of State has directed that the cap on the current rates is uprated, and CEA rates are recalculated to take into account the addition of VAT.”

This adjustment ensures that the Ministry of Defence will continue covering up to 90% of private school fees under the revised VAT-inclusive rates, maintaining critical support for military families amid evolving tax policies.


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George Allison
George has a degree in Cyber Security from Glasgow Caledonian University and has a keen interest in naval and cyber security matters and has appeared on national radio and television to discuss current events. George is on Twitter at @geoallison

9 COMMENTS

  1. So Rachel Thieves has managed to transfer some of her biggoted waste onto the defence budget. I wonder what else Labour will mange to shift.

  2. I hope the Service families affected were told about this back in July, when Labour was elected. ..otherwise they may already have withdrawn their children from boarding school prior to the September term starting.

    • They should have been it was a well publicised tax to fund 6500 new teachers which is less than 1 new teach per school apparently. It really doesn’t seem well thought out tbh and really looks like it’s ideology based rather than sensibly thought through.

      All taxes have unintended consequences. My grand kid has already had 3 kids from private school join their class taking it to over 30 and the teacher now has 10% less time to spend with the existing kids due to this tax. Not only that the private school that let’s the public use its pool at the weekend has said it will close its pool to save money due to the vat raid so now they have to travel 40 mins each way to another pool to do lessons. Now we see MoD budgets potentially having to stump up for this. Ordinary people are suffering from this tax as well as military families.

      • My point was whether Service parents who would be affected by VAT on school fees were told in July when Labour won, that CEA would be uplifted to cover the VAT charge.

  3. Private education is better than government or council funded school in my opinion. I was educated in a Grammar school ( 1965 to 1971. Friars grammar school for boys, Bangor Gwynedd ). I am surprised that this government have not made home education illegal. We have colleges controlled by quangos. Universities with a similar control. Our Welsh Senedd have a bad influence too…ask any teacher with many Plaid Cymru members in piblic school management. Frightening really.

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