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Independent nurseries could lose charity status

The charitable status of independent nurseries providing more than 1,700 childcare places is to be examined as part of a legal review in the Scottish Parliament. The Charity Law Reform Bill is designed to tackle the recent scandals in Scotland's charity sector, but it will also be used to debate the charitable status of private schools, 43 of which provide 1,745 nursery places across the country. If after the debate next spring the Scottish Parliament decides that private schools should not have charitable status, then they could lose out on some sources of revenue and tax exemption, leading to a rise in fees for parents.

The Charity Law Reform Bill is designed to tackle the recent scandals in Scotland's charity sector, but it will also be used to debate the charitable status of private schools, 43 of which provide 1,745 nursery places across the country. If after the debate next spring the Scottish Parliament decides that private schools should not have charitable status, then they could lose out on some sources of revenue and tax exemption, leading to a rise in fees for parents.

The statute on charities dates back to 1600 and includes organisations that provide education. The changes under consideration may mean that private schools have to demonstrate a clear public benefit to qualify for charitable status.

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