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Fees bite private school rolls

Recession acknowledged in drop

LOIS WATSON - Sunday Star Times
Last updated 05:00 08/03/2009

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AN EXODUS of students from some of the country's most exclusive schools is beginning as cash-strapped parents struggle to find enough money to pay hefty private tuition fees.

Roy Kelley, headmaster of King's College in Auckland, said it has already lost a number of students this year because their families could not afford the $19,500 tuition fee. Their places were filled by other students, but the size of the college's waiting list was smaller than usual because of the financial pressures families were under.

"The waiting list has shrunk there's no doubt about it," Kelley said. Often it was grandparents who paid the school's tuition fees, but some had been hit hard by the collapse of finance companies, and could no longer meet the costs of education.

Last week the Sunday Star-Times reported that a rising number of private schools were applying to the government for state integration status, which would allow them to claim government funding. Some small private schools have already laid off teachers or closed their doors because of inadequate enrolments.

While the country's most established private schools are far from going cap in hand to the government, they are still noticing the impact of the downturn.

Lynda Reid, headmaster of Auckland's St Cuthbert's College, said it has lost students because of the recession. "At the end of last year we lost three or four families more than we would normally and we know that was for financial reasons."

Despite the loss of those students the school's roll was at a record high and there were "healthy" waiting lists for places.

Some families are having to make hard decisions and the college had noted a 3-4% increase in the number of parents approaching them because they were having trouble meeting the tuition costs of $13,000- $16,000 a year.

"The recession has a way to go yet and we're very mindful of that," Reid said.

Greg Fenton, headmaster of St Paul's Collegiate in Hamilton, has lost 20 students since the start of the summer school holidays because their parents cannot afford the yearly tuition fee of $15,400. Last year the school had more than 600 students enrolled; this year it has 575.

"We are a business and like any business that relies on discretionary income we are affected by the downturn," said Fenton. "When it comes to your children's education you only have one chance of getting it right and in most cases parents will move mountains to ensure their child gets the best education possible. Unfortunately some are just finding they now don't have enough money to pay the fees."

Fenton said like many principals around the country he was nervous about what impact the continuing recession would have next year.

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Gillian Simpson, principal of Christchurch's St Margaret's College, said the recession has so far had little effect on enrolment levels. There was a waiting list for places in the boarding school and all junior classes were full.

She said it appeared private schools in the South Island were not feeling the impact of the recession as much as in the North Island.

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