Independent education consists of privately paid for education - ordinarily operating term time only, catering for both the UK domestic and international students, gaining both academic and vocational qualifications, including STEM education businesses, private tuition centres, Independent Schools and language colleges
||3 - 19 years
Independent Schools; Day & Boarding
Private Language Colleges
Private Sixth Form Colleges
Education Enrichment (Activities); Residential and day camps
Science, Technology, English and Maths (STEM); Businesses tutoring students in four specific disciplines
Private Tuition Centres; Including franchised centres
Pupil Referral Units (PRU) and Alternative Provision (AP); Education for children who cannot go to mainstream schools
The landscape for independent schools is mixed, with private ‘for profit’ schools typically falling into one of three groups. The elite and prestigious private UK schools have been able to maintain high occupancy and school fees, assisting in offsetting increasing operational costs.
However, mid-market schools located in pockets of London, the South East and Home Counties are having to become increasingly commercial in order to ensure a healthy financial operation and ensuring profitability with necessary financial reserves.
The independent schools which are most at risk tend to be those located outside of London and the South East. Most at risk are schools with capacities for 200-250 pupils or less. During the past 12 months we have seen increasing evidence of long term erosion in pupil numbers at many smaller schools, and with little capital to reinvest, we have seen an increase of schools in distress and an increase in the appointment of administrators and liquidators We anticipate increased evidence of distress during 2020 for this cohort of schools as costs continue to rise and surpluses decrease.
Distressed assets aside, and save for a change in Government, we expect the independent school market to remain strong and activity is anticipated to gain pace especially across mid-market pricing points of between £5 million and £50 million. Inbound demand from International school operators and investors continues to fuel demand for the most prestigious schools and those with substantial and established earnings.
Director - Childcare & Education
T: 0161 833 6931