Private schools fail public benefit test

Two out of five test case fee-charging schools have failed to fulfil the Charity Commission’s public benefit requirements.

Last October, the Commission selected five fee-charging schools, four religious charities and three care homes for its first public benefit assessments. This followed the enactment of the Charities Act 2006, which removed the legal presumption of public benefit in favour of charities in the fields of education, religion and poverty.

There is now an active duty on all charities to demonstrate that they fulfil the public benefit requirements.

The results of the assessments, announced this week, revealed that St Anselm’s School Trust, Highfield Priory School and Penylan House Jewish Retirement and Nursing Home failed to satisfy the Commission that the opportunity to benefit was not unreasonably restricted by a person’s ability to pay the fees charged.

The two schools were found to have failed because they did not provide sufficient bursary funding for pupils from poorer backgrounds.
One of three test case care homes also failed, while another care home was deemed to be acting outside its charitable objects.

The commission will now work with these charities over the next 12 months to look at how they might make the necessary changes.