Pricing up the 'three Rs' in 2007

Every parent wants the best education for their children but finding it often comes at a very high price. Sending your kids private is not only an awesome expense but also an enormous commitment (largely because of the awesome expense). According to this year's annual census from the Independent Schools Council information service (ISC), 620,000 children attend some 2,500 independent (or private) schools in the UK, paying an average of £9,633 a year (three academic terms) for a day school and £20,136 for a year at boarding school.

The rising cost of private education

Using these numbers, funding for seven to eight years of a child's secondary education would therefore require sums of £67,431 or £140,952 respectively, before allowing for inflation. ISC says fee increases in 2006-7 averaged 5.9 per cent, double the rate of inflation.

According to a study by Mtmconsulting, a business consultancy that specialises in the education sector, middle-class parents risk being priced out of independent schools as fees have risen by almost 40 per cent in five years. Parents already sacrifice holidays abroad, plasma TVs and new cars to send their children to independent schools; and almost one in 10 have even remortgaged their house to raise funds.

Last month, a YouGov poll, commissioned by Reader's Digest, showed that 59 per cent of parents would send their children to independent schools if they had the money. When the same Reader's Digest survey was carried out 20 years ago, this figure was 48 per cent.

Solid State

So why do people put themselves through so much financial pain when an alternative exists the one that you've paid for already through your taxes? The state sector. Although dismissed by many, and even perceived with horror by some, there's a whole bunch of excellent state schools out there, many of which have academic standards that are the equal of many top fee-paying schools.

Still sceptical? In late November 2006, the Sunday Times published its 2006 ranking of the best 500 schools in the UK. It revealed that Colyton School in Devon, a state school, ranked equal 16th with Eton College. Queen Elizabeth School in Barnet is 28th - one place above Winchester College.

Think that Eton is a shoo-in to Oxford? Think again. In 2004, 130 pupils applied to Oxford from Eton college and 56 were offered places to start in 2005, a success rate of 43 per cent. Eleven pupils applied from Colyton and seven were offered places, a success rate of 64 per cent.

And, perversely, youll find there's a nexus point where, at least in its ranking on the league tables, a fee-paying school is only marginally better than an inner-city comprehensive. Just because you pay through the nose for something doesnt mean to say its any better than what you can get for free - so long as you're prepared to seek out the best of what's on offer and move house to be nearer to it.

Are you thinking about moving home? Moneyextra has everything you need to know about mortgages and home buying.

05 October 2007 © Moneyextra.com

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