Economists warn that private schools in South Africa could see more learners dropping out and returning to model C public schools in 2023 as parents salaries struggle to match high levels of inflation and the high cost of living in South Africa.
Econometrix chief economist Azar Jammine and Efficient Group chief economist Dawie Roodt both warned that this was the case.
They said that salaries particularly for small business owners have not been keeping up with inflation and that has affected many households.
As a result, many kids that attend expensive private schools will be taken out and place in ‘lower class’ schools where the fees are cheaper and affordable.
Governing bodies in South Africa are estimating fee hikes between 4% and 6% in 2023, the Sunday Times said, but in some cases, the paper saw hike predictions as high as 10%. Headline inflation in the country is at 7.5% in the latest report from Stats SA.
Business Tech looked at the prices of 10 of the most expensive private schools in the country in 2022 and found that the latter remain vastly more affordable than the upper range of private schools, with the most expensive public school listed costing less than half of the annual school fee of the most expensive private school.
The country’s most expensive school, Hilton College based in the midlands of KwaZulu-Natal, saw a 3.5% increase from 2021- keeping its title of being the most expensive school in South Africa with an annual fee of R343,155.
When Business Tech began tracking the most expensive schools in 2014, Hilton College was the only school priced over R200 000. In 2022, all the private schools in the top 10 have passed that figure, and 6 are passed R300 000.
Meanwhile, the most expensive public school in 2022 costs R150 000. The fees are expected to increase in 2023.
Source: My Broadband, Times Live, Business Tech, image from Twitter: @NorthWesTimes
