Non-Domestic Rating (Multipliers and Private Schools) Bill

Third Reading

Clause 7: Commencement

Amendment 1

1: Clause 7, page 6, line 14, leave out subsection (2)

My Lords, I rise to speak to my three amendments for this Third Reading. My amendments are simple and seek to remove any reference to private schools following the removal of Clause 5. I hope very much that the Government will accept these amendments to ensure that we send a clean copy of the Bill to the other place.

I am pleased that the two important principles we debated during the passage of the Bill were upheld by the House on Report: first, that the tax on education should be removed from the Bill; and, secondly, that we should not introduce a two-tier system for charities. I was glad to have the support of noble Lords across the House to remove Clause 5, and give particular thanks to the noble Lord, Lord Storey, who co-signed that amendment.

This clause on its own will raise only £70 million for the Exchequer, but its impact cannot be ignored. It comes at a time when the Government have already hit independent schools with additional costs through their decision to introduce VAT on school fees in the middle of a school year and the increase in employer national insurance contributions. This suggested change would exclude independent schools from charitable business rates relief. Although it would raise minimal amounts for the Treasury, it would damage schools disproportionately.

As previously discussed, the Bill would create a two-tier charity system, allowing the Government to treat charities differently and bringing politics into charity law. Our charities and charitable schools should not be subject to this, and I am very glad that noble Lords from across the House agreed. I beg to move.

My Lords, the noble Baronesses, Lady Barran and Lady Scott of Bybrook, have tabled three amendments consequential to the amendments passed on Report. As these simply refine those amendments that have already been passed, we do not oppose them.

Amendment 1 agreed.

Clause 8: Short title

Amendment 2

2: Clause 8, page 6, line 17 leave out “and Private Schools”

Amendment 2 agreed.

In the title

Amendment 3

3: Title, line 4, leave out from “England” to end of line 5

Amendment 3 agreed.