§ Mr. MorganTo ask the Secretary of State for Education if he will make a statement on the effect of(a) opting out and (b) local management of schools on the ability of individual schools to reclaim value added tax.
§ Mr. ForthWhen schools achieve self-governing status they become liable for VAT on supplies and services. They receive a special purpose grant in recognition of this new282W liability. Local management of schools does not affect the VAT position of those schools maintained by the LEA, which may reclaim any payment of VAT through the LEA.