Immanuel College in Bushey is proposing to close its preparatory school from next September, instead transferring most of the pupils currently taught there to Kerem School in Hampstead Garden Suburb.

In a letter to parents, the schools put the move down to growing financial pressures on the independent sector, which include the imposition of VAT on fees, the removal of business rates relief and the increase in employers’ national insurance for staff next year.

Children who are currently in the Immanuel Prep School — which was opened in 2011 — from reception to year 4 will be offered places at Kerem from next September. Those now in year 5 will be able to continue their education for their final year at Immanuel.

Parents were told “Kerem’s longstanding relationship with Immanuel College will be strengthened and the Hampstead Garden Suburb-based school will become a feeder school and have access to the Bushey site and its facilities for activities and events.”

Naomi Simon, head of Kerem — which currently charges £14,550 a year — said, “We are very excited to be welcoming Immanuel College Prep families into our vibrant and flourishing community.

“We are working closely with Immanuel College to ensure a smooth transition. As well as academic excellence, Immanuel and Kerem share a strong history, and ethos of equipping pupils with the skills, confidence and compassion to thrive as responsible Jewish citizens with a global outlook, deeply rooted in faith and community.”

Acting Immanuel headmaster Dan Endlar said, “As the independent schools sector faces

some difficult challenges, the alliance between Immanuel College and Kerem will ensure that both emerge stronger at a time of huge uncertainty.”

Daniel Levy, Immanuel’s chair of governors, said, “We know that parents make huge sacrifices for their children’s education. The past five years, starting with Covid, through the period of high inflation and now with the addition of VAT to school fees, has created unprecedented financial pressures across our sector.

“The collaboration with Kerem will ensure that our children have the opportunity to continue receiving an outstanding primary education and the stability they require in these uncertain times. It goes without saying that, as sad as we are to be saying goodbye, we are looking forward to welcoming them back to the Senior School in the future.”

Annual fees at Immanuel are currently set at £23,859 for the senior school and £13,632 for the preparatory school.

A consultation on the prospective closure of the preparatory school will report early next year.

Immanuel recently received a mostly positive assessment from the Independent Schools Inspectorate, which said pupils were helped to become “effective” members of society and most made good academic progress.

But numbers at the college have fallen from 681 at the time of the previous inspection five years ago to 467 this term.