In South Africa, parents with children attending private schools are bracing for another round of fee increases in 2025, continuing a trend of yearly hikes that have consistently outpaced inflation. Over the past decade, school fees have risen at an average rate of the Consumer Price Index (CPI) plus 2.6% annually, placing increasing financial pressure on families committed to private education, according to reports from Business Tech.
Rising Tuition Fees: A Growing Financial Strain
The South African Reserve Bank (SARB) projects inflation to be around 5.1% for 2024, but private school fees are expected to rise by 6% to 10%. This will further extend a pattern of fee increases that have outpaced inflation by a significant margin, adding to the already high costs of private schooling.
For instance, Roedean School for Girls recently announced a 7.5% fee hike for 2025, increasing the combined tuition and boarding fees from R360,087 to R387,093. Other prestigious private schools are expected to follow suit, highlighting the increasing financial burden of private education well beyond what inflation alone would suggest.
Financial Pressure Mounts, Even for High-Income Families
While private schooling has traditionally been associated with wealthier South African households, even those in higher income brackets are starting to feel the strain. Economic challenges, including record-high interest rates, rising fuel costs, and stagnant wages, have stretched household budgets thin. Over the past seven years, South African salaries have grown by just 1%, while inflation has surged by 40%, eroding the real value of earnings.
This economic squeeze is forcing many families to reassess their financial priorities, with private school fees now becoming a significant concern even for affluent households. The rising cost of education, combined with the stagnation in disposable income, is prompting some parents to question whether they can continue to afford private schooling for their children.
Enrollment Trends Reflect Growing Financial Strain
Curro Holdings, one of South Africa’s largest private school networks, has observed a slowdown in enrollment growth that mirrors the financial stress affecting many families. Curro’s enrollment figures increased slightly from 71,809 students in November 2023 to 73,159 in February 2024. However, this is only a marginal rise compared to the 73,047 students recorded in February 2023, suggesting that growth has plateaued. Notably, enrollment in younger grades has shown limited increases, indicating that some families with younger children are reconsidering private schooling due to the escalating costs.
While high school enrollment has remained steady, early-grade enrollments are lagging, signaling that families may be opting for public schooling or other more affordable alternatives. This trend suggests that the financial burden of private school fees is becoming unsustainable for many, even among higher-income groups.
The Rising Burden of Private School Costs
The sharp increase in private school fees highlights a broader economic challenge: financial pressure is now being felt across a wide spectrum of income groups. Once considered a manageable expense, private school tuition is becoming a major financial concern for many families. As a result, parents are increasingly questioning the affordability and long-term sustainability of private education.
The Future of Private Education Amid Economic Uncertainty
As 2025 approaches, the future of private education in South Africa appears uncertain. With rising tuition costs and broader economic pressures, schools, parents, and policymakers are grappling with how to maintain high-quality education in an increasingly challenging financial environment. Private schools may need to adopt creative solutions, such as offering flexible payment plans or financial aid options, to help families burdened by rising fees.
The trend of increasing fees raises important questions about the accessibility of private education moving forward. As more families struggle with the cost of schooling, private schools will need to find ways to remain financially viable while still providing the high-standard education that many families value. The year 2025 may prove to be a pivotal moment for private education in South Africa, as schools seek to balance the need for financial sustainability with the goal of keeping quality education within reach for families.
