A respected private school in Scotland, co-founded by actor Tilda Swinton, has said Labour’s VAT policy on private education has played a major role in forcing it to shut down.
Drumduan School, based near Forres in Moray, has operated for four decades. The school has now confirmed that its kindergarten will close at the end of the academic year on June 30, citing mounting financial strain.
The announcement comes after Drumduan had already ended its upper school and lower school provision earlier this year, in February and March.
School leaders said the introduction of VAT on private school fees by the UK government in January last year had made it increasingly difficult to continue operating.
In a statement, Drumduan said that during the wider cost-of-living crisis, the added tax had become “harder for families to absorb” and had also increased the school’s own expenses.
Fees at the independent school were about £13,500 a year for senior pupils. Drumduan was known for its alternative, hands-on approach to education, placing less emphasis on formal testing and even doing away with desks in the classroom.
Its famous alumni include Tilda Swinton’s twin children. The Oscar-winning actress, who has appeared in films such as Doctor Strange and The Grand Budapest Hotel, co-founded the school in 2013 with Ian Sutherland McCook.
Swinton helped set up the school because she wanted her children to be educated in the Steiner Waldorf system – a ‘holistic education’ which combined artistic and physical activities with academic learning including science and maths.
Tilda Swinton at an event at Drumduan School. The Oscar-winning actress helped co-found the school in 2013 and both her children were pupils
An event at Drumduan School. The school has announced it is shutting its doors for good at the end of the academic year on June 30
She has also taken part in multiple events at Drumduan over the years including a trip to the Scottish island of Colonsay.
Explaining why she chose to send her twins to the alternative school, Swinton told The Observer in 2015: ‘There’s no grading, no testing at all.
‘My children are now 17, and they will go through this school without any tests at any time, so it’s incredibly art-based, practical learning. For example, they learn their science by building a Canadian canoe, or making a knife, or caramelising onions.
‘And they’re all happy 17-year-olds. I can’t believe it – happy and inspired.’
A statement from trustees on the school’s website said they had made the decision to close the kindergarten.
They said: ‘This decision follows a careful review of financial sustainability and reflects the trustees’ responsibilities to govern Drumduan.
‘Despite sustained efforts to secure alternative funding, we have not been able to establish the financial foundations necessary to continue.
‘It was not a decision taken lightly.
‘Staff and families are being supported throughout the transition process, with access to individual conversations and guidance on next steps.’
The statement added: ‘We wish to place on record our immense gratitude to the kindergarten staff, whose dedication, creativity and care for our children has been wonderful in these challenging times.
‘The trustees would like to express their sincere gratitude to the many families, staff, friends and supporters – past and present – who have contributed to the life of Drumduan over its 40 years.
‘It is comforting to know the children who have been part of our community carry with them their learning, the wonder and creativity nurtured in their early years, and the human connections formed during their time at Drumduan.’
In a later statement, Drumduan said that amid the ‘cost-of-living crisis’ the new VAT charge was ‘harder for families to absorb’ while also driving up the school’s own running costs.
Trustees approved a 20 per cent fee increase from August last year, and pupil numbers then fell.
Drumduan is not alone among Scottish private schools feeling the pinch.
In June last year, one of Scotland’s top private schools said jobs could be lost as it looked to cut costs.
Fettes College in Edinburgh – which counts former Prime Minister Tony Blair among its alumni – said the introduction of VAT on school fees was one of the reasons it was faced with the ‘difficult’ decision.
And in February it was announced that more than a dozen jobs were at risk at Albyn School in Aberdeen.
In England, the 600-year-old private school Stoke College, in Suffolk, announced earlier this month that it would close at the end of the Summer term.
Since the policy was adopted in January 2025, more than 100 independent schools have closed, according to the Independent Schools Council, including 15 that were merged with other institutions.
