The closure comes after a planned sale to save the Perthshire school, which was founded in 1930, suddenly fell through, reports the Daily Telegraph.
In a letter, the school said that the education provide Achieve Education had pulled out of the deal after it “reassessed its commitment to investing in the school”.
Parents, staff and former pupils were informed of the decision to close on August 13. Current students will be offered places at nearby private schools Glenalmond College and Craigclowan School.
The school also said that “the possible impact of VAT on school fees” was a factor in the decision, as, without financial support from Achieve Education, Labour’s VAT plans could impact pupil numbers, which are already low.
The school has 173 pupils, below the benchmark of 210 children needed for it to break even. The school charges £39,000-a-year per pupil.
Kilgraston launched a £2 million fundraising campaign in 2023 in the face of a previous threat of closure. Initially, the response was heartening, with parents, alumni and donors raising £1.2 million within 48 hours.
But the school said that with Achieve Education backing out of the
sale unexpectedly, it was now left with no choice but to shut due to
“both a short- and long-term funding deficit”.
A spokesperson for the Board of Trustees said:
“Last year was extremely difficult for the Kilgraston community, as we
faced significant challenges to keep the school open. Education provider
Achieve Education stepped in to financially support and manage the
school in the short term and to buy the school in the longer term.
“Unfortunately, recent unexpected changes within Achieve Education have resulted in them reassessing their commitment to investing in Kilgraston and they are unable to proceed with the legal purchase of the school.”
The school is facing a £860,000 deficit to fund the next academic year, which comes on top of £3.4 million of outstanding loans and finance commitments.
The Board of Trustees notes that it “has explored a number of opportunities in a bid to save the school but unfortunately none of these have offered a financially viable solution.”
As a result, the board says: “This leaves the school with no choice but to close.”