ISBA Model Parent Contract – annual update

We have recently completed our annual update to the ISBA Model Parent Contract.

This year’s update incorporates various updates to reflect the forthcoming imposition of VAT on independent school fees on 1 January 2025. Key changes include:  

• Strengthening existing VAT provisions to protect the school’s interests.  
• Including optional wording and guidance on the deposit, depending on whether it is subject to VAT at the time it is paid.
• Aligning the Parent Contract more closely with the VAT framework, for example by restructuring the definition of “Fees” into
  
  
  • “School Fees” (for education services and board and lodging), which are subject to VAT; and
  • “Specified Charges” (for all other services), which will bear their own VAT treatment.

The latest ISBA Model includes guidance and explanatory notes on the VAT treatment of various fees, including the registration fee, the “School Fees” and the deposit, as well as a template Schedule of Fees and two template VAT invoices which have been separately uploaded to the Reference Library.

Other substantive updates are to include references to a new Parent Code of Conduct, which is a new (separate) policy that seeks to outline the school’s expectations from parents, and the school’s Attendance Policy, which it must have in place under the Government’s now statutory guidance “working together to improve school attendance”.

If you are looking to review or update your Parent Contract in the new year, please get in touch with Jeremy Isaacson and Genna Morgan.  

This publication is a general summary of the law. It should not replace legal advice tailored to your specific circumstances.