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Independent schools 'hit by credit crunch'

Posted on 17th November 2008

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The credit crunch is affecting the independent schools sector, a new report has suggested.

Members of private school staff surveyed by the Association of Teachers and Lecturers union have expressed their concerns about the effect of the economic downturn on the industry.

One in five said their institution had experienced lower pupil numbers this academic year compared to in 2007.

In addition, 14 per cent stated that their schools had fewer teachers this year and 16 per cent revealed they expect redundancies to be made in the future.

It comes after independent schools were warned to cut their expenditure as recession looms.

Chartered accountants Haysmacintyre have noted that "there is no reason why fees payable to independent schools should not be affected" by the current crisis in the economy.

If the situation worsens, private schools may have to consider mergers or closures and parents will have to fight hard to keep children in independent institutions, a spokesperson from the firm stated.