Thursday, 26 August 2010

School Fees Inflation 2000 - 2010 (2013 update)

Here are the average school fees figures for ISC schools including below the 2013 update.

*** Update for 2013 school fees Inflation - click here ***

*** Update for 2012 school fees Inflation - click here ***

*** Update for 2011 school fees Inflation - click here ***

Now proudly in association with  EDEN School Fees Planning

Parents more often than not underestimate the likely total cost of school fees, for the simple reason that they take little to no account of school fees inflation. School fees are usually the largest expense a family has yet unlike their mortgage which mainly benefits from inflation, as the years pass by the cost of school fees goes up A LOT.

If your child was born in 2000 and you had the forethought to look at the likely cost of school fees for 7 years of senior school (without accounting for inflation) the probable figure you would have come up with is around £35,000 - £40,000.

7 years of school fees starting from next September in todays terms would cost closer to £80,000 and if we inflate them forward from today at 6% they are more likely to cost £95,000. With other possible variables, music lessons, foreign trips etc that could be 3 times what you had expected when your child was newborn.

Nobody knows what inflation is going to be long term, over the last year it has been much lower than the average of the last 10 years. Of course we are in the throws of a recession which has had a large impact on schools' ability to increase fees at the usual rate but it is my belief that in time they will return to somewhere around 6%. There is also a chance that a few years from now fee inflation will be even higher because school are making up for ground lost during the current economic period.

I imagine development of new facilities is on hold at present but of course that cannot be a permanent situation so the new science wing will have to be paid from somehow and that usually means higher fees inflation...