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Hulme Grammar School in Oldham doesn’t feel like a bastion of privilege, but the children whose parents pay around £15,000 a year for them to attend are nevertheless among an elite minority.

A selective fee-paying school, Hulme is one of around 2,500 independent schools that educate 7% of the school population, a minority that is the target of one of Labour’s few unapologetically tax-raising policies.

If elected, Labour says it will end the VAT exemption on fees, making them subject to 20% tax, raising an estimated £1.6bn the party says will be used to hire 6,500 teachers in the state sector that educates 93% of children.

Private school parents fear the increase will be passed on directly, pricing some children out, while industry bodies claim some schools will close.

Oldham is one of the poorest towns in England and Hulme is one of the country’s more affordable independent schools, its fees around the national average and well short of the £50,000 charged by Eton and the prime minister’s alma mater Winchester College.

Headteacher Tony Oulton, state educated and with experience working on both sides of Britain’s educational divide, says Labour’s policy misrepresents the majority of private schools and punishes parents.

“The sector is not Eton or Harrow or Winchester, the big posh boarding schools largely based in the south of England.

“The majority is made up of schools like mine where parents are making real sacrifices to pay the school fees because that’s how they are choosing to prioritise their spending.”

‘They are prioritising education the way some prioritise holidays’

Even without the Labour policy, fees at Hulme will rise 5.5% next year, a figure Mr Oulton says reflects the wider costs pressures, primarily wages for teachers. He says he cannot absorb the VAT rise without sacrificing the 24-child class size limit he believes parents are paying for.

“I lament the political debate, the loss of nuance and insight into the impact on children.

“The idea they are buying privilege and separation would not resonate with parents here. They don’t recognise the rhetoric that sits around this, that they are part of some privileged elite. They are prioritising education the way some prioritise holidays.”

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Private schools ‘will adapt’ to VAT tax

Privately educated children do nevertheless enjoy advantages. At £15,000 the average fee is double the £7,500-per-head funding in the state sector, and selection allows independent schools to choose who they want to educate.

Analysis by the Institute for Fiscal Studies meanwhile shows that private school attendance is concentrated among the wealthiest households, with three quarters of pupils drawn from the 30% of highest earners, and most from the top 10%.

This perhaps explains why Labour has felt able to concentrate one of its few openly tax-raising policies on the sector.

It argues that the needs of the state system, relied on by 93% of parents, make it popular while unspoken is the possibility that complaints of those who can afford fees in the first place will elicit little sympathy.

They are relaxed too about warnings that increasing fees will lead to an exodus of pupils that will put state schools under pressure.

Private school rolls have remained constant despite average fees increasing almost 50% in the last decade, and state secondary registers are forecast to fall 7% in the next decade as a population bulge passes through the system.

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State education is facing undeniable challenges, including recruitment and retention, with one in four teachers leaving after three years in classrooms.

The growth in demand for special educational needs provision is also putting schools and local authorities under pressure. Some 576,000 children had an active education and health plan in January, almost as many as the total private school roll of around 615,000.

Headlands School in Bridlington faces typical challenges, all while working to clear a £1m deficit from its budget.

Assistant head teacher Adam Wooley said the issues for state education go beyond the school gate.

“It is not just about school funding but funding all the services around young people. A million people are in child poverty so there is only so much schools can do if children come in hungry, cold and without that stable foundation,” he says.

“I take the argument from private schools and parents that it is a squeeze on people being aspirational for their children, but all parents are aspirational. State schools can and absolutely should be a place where you can send your child and aspire to great things, but that needs funding.”

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Harrods customers’ details stolen in IT systems breach

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Harrods customers' details stolen in IT systems breach

Harrods has warned its e-commerce customers that their personal data may have been taken in an IT systems breach.

Information like customers’ names and contact details was taken after one of Harrods’ third-party provider systems was compromised, the luxury London department store said.

Affected customers have been informed and reassured that the impacted data is “limited to basic personal identifiers”, a spokesperson said.

Account passwords or payment details were not affected in the breach.

“The third party has confirmed this is an isolated incident which has been contained, and we are working closely with them to ensure that all appropriate actions are being taken. We have notified all relevant authorities,” Harrods added.

“No Harrods system has been compromised and it is important to note that the data was taken from a third-party provider.”

This comes four months after the department store restricted internet access as a precautionary measure due to “attempts to gain unauthorised access” to some of its systems.

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Friday’s breach is “unconnected” to the attempts in May, the spokesman said.

Two men aged 19, a 17-year-old boy and a 20-year-old woman were arrested in July over their suspected involvement in cyber attacks on Harrods, Marks & Spencer, and the Co-op.

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They were arrested on suspicion of blackmail, money laundering, offences linked ot the Computer Misuse Act, and participating in the activities of an organised crime group, the National Crime Agency said.

All four have been bailed pending further inquiries.

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Nursery hackers: ‘There’s more to come’

It comes as hackers claim to have stolen pictures, names and addresses of thousands of children in a cyber attack on a nursery chain in London.

The group, calling itself Radiant, has released personal information about children and staff at the Kido nursery chain on the dark web and demanded a ransom from the company.

Radiant told Sky News on Friday it intends to imminently release the profiles of more children and employees.

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Trump trade war expands to cover many drugs, trucks and furniture

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Trump trade war expands to cover many drugs, trucks and furniture

Donald Trump has revealed a fresh round of trade tariffs on several key sectors, with the most punitive rate likely to affect UK businesses.

The US president used his Truth Social account last night to confirm that a new 100% tariff would apply to any branded or patented pharmaceutical product from 1 October.

He said that to escape the clutches of that duty, a company must have already broken ground on a new US factory.

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From the same date, a 50% tariff would be applied to all imported kitchen and bathroom cabinets while upholstered furniture faced a 30% rate.

A 25% tariff faced shipments of heavy trucks.

The president did not confirm whether the duties would be lower for nations to have agreed trade deals with his administration, including the UK and European Union.

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Each faces a blanket 10% and 15% rate on their exports respectively at the moment.

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What does UK-US trade deal involve?

It is likely, however, that the new duties will be applied in line with other, higher, sectoral tariffs that are currently in place above those agreed rates.

“The reason for this is the large scale “FLOODING” of these products into the United States by other outside Countries,” Trump said in his post.

The lack of detail around the application of the planned new tariff rules means further uncertainty for companies potentially affected.

Shares in pharmaceutical firms listed in Asia fell sharply overnight as industry bodies rushed to seek clarification on the new rules.

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AstraZeneca – the UK’s most valuable listed company – already has vast US manufacturing and research operations.

In July, as the threat of tariffs loomed large, it revealed plans for a further $50bn investment by 2030.

US figures show the country imported $233bn of drugs and medicines from abroad last year.

A 100% tariff rate, even on some of those shipments, risk ramping up the cost of US healthcare.

By imposing the 100% tariff rate, Mr Trump wants to bring prices down through encouraging domestic production.

US industry groups lined up to oppose the planned measures.

The Pharmaceutical Research and Manufacturers of America said non-US companies were continuing to announce hundreds of billions of dollars in new US. investments. “Tariffs risk those plans,” it said.

The US Chamber of Commerce urged a U-turn on any truck tariffs.

It said the five nations to be worst affected – Mexico, Canada, Japan, Germany, and Finland – were “allies or close partners of the United States posing no threat to US national security.”.

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Many small firms reliant on Jaguar Land Rover have ‘weeks left’ before damage ‘untenable’

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Many small firms reliant on Jaguar Land Rover have 'weeks left' before damage 'untenable'

Small firms reliant on the production-halted British car maker Jaguar Land Rover, “may have at best a week of cashflow left to support themselves” with “urgent” action needed to support businesses.

Liam Byrne, the head of the influential Business and Trade Committee of MPs, wrote to Chancellor Rachel Reeves with the warning after meeting with the car maker’s suppliers.

“Larger firms, we heard, may begin to seriously struggle within a fortnight – and many are simply unclear how they will pay payroll costs at the end of October,” he said

“In short, many firms have merely “weeks left” before the financial impact on them becomes untenable and causes critical damage to key elements of the automotive supply chain.”

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Since 31 August, production has been halted across the car-making supply chain, with staff off work as a result of the attack.

More than 33,000 people work directly for JLR in the UK, many of them on assembly lines in the West Midlands, the largest of which is in Solihull, and a plant at Halewood on Merseyside.

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Are we in a cyber attack ‘epidemic’?

An estimated 200,000 more are employed by several hundred companies in the supply chain, who have faced business interruption with their largest client out of action.

Calls for government financial support had been growing, but Prime Minister Keir Starmer on Thursday afternoon said, “I haven’t got an outcome here to give to you today”.

A partial restart

It comes as JLR announced some of its IT systems are back online after being hit by a cyber attack late last month though production is still not expected to start again until 1 October at the earliest.

“The foundational work of our recovery programme is firmly underway,” a company spokesperson said in a statement.

As part of the partial restart, supplier payments can begin again.

“We have significantly increased IT processing capacity for invoicing,” the statement said. “We are now working to clear the backlog of payments to our suppliers as quickly as we can.”

The supply of parts to customers across the world can also now recommence.

After a workaround was reached on Tuesday to allow cars to move to buyers without the usual online registration, the financial system to process wholesale vehicles is back online.

“We are able to sell and register vehicles for our clients faster, delivering important cash flow”, the company said.

“Our focus remains on supporting our customers, suppliers, colleagues and our retailers. We fully recognise this is a difficult time for all connected with JLR and we thank everyone for their continued support and patience.”

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